What is the bayes decision

Reference no: EM13965277

Suppose that we have an observable X that can take only two values, X1 and X2, for the situation in Exercise 11.5.7. The distribution of X depends on the states of nature and is as follows:

	θ1	θ2	θ3
X1	0.1	0.5	0.6
X2	0.9	0.5	0.4

That is, P (X = x1|θ1) = 0.1 or P (X = x2|θ3) = 0.4, and so forth.

Suppose you observe X1; what is the updated prior? What is the Bayes decision?

Reference no: EM13965277

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