[bonoboTP]

If you formalize Occam's "simplicity" as description length, then that depends on encoding. By assuming an encoding, you implicitly assume a distribution (according to entropy coding, eg Huffman coding) and hence inject an inductive bias.

I'm not saying that it's bad to assume one. The point is that it is an assumption. My bigger point is that the no free lunch theorem should only bother you as much as the induction problem bothers you. Which in practice means not at all.