Review & Cheat Sheet

[!IMPORTANT] Key Goal: Ensure you can distinguish between Discrete and Continuous distributions and know when to apply Gaussian, Beta, or Gamma.

This review chapter consolidates the core concepts of probability distributions, including discrete variables, the Gaussian bell curve, and the continuous Beta and Gamma distributions.

1. Key Takeaways

  • Discrete vs Continuous:
  • Discrete (PMF): Sums to 1. Used for countable outcomes (Coin flips, Emails).
  • Continuous (PDF): Integrates to 1. Area under curve = Probability. Used for measurable outcomes (Height, Time).
  • The Gaussian King:
  • Symmetric, Bell-shaped. Defined by Mean (μ) and Std Dev (σ).
  • 68-95-99.7 Rule describes the spread.
  • Z-score: Standardizes any normal distribution to N(0, 1).
  • The Flexible Friends:
  • Beta: Bounded [0, 1]. Models probabilities/proportions. “Conjugate Prior” for Binomial.
  • Gamma: Bounded [0, ∞). Models waiting times for k events.

Quick Revision

  • Review the PMF for discrete and PDF for continuous random variables.
  • Use log-probabilities to avoid integer overflow and underflow.
  • The Gaussian distribution naturally arises from the Central Limit Theorem.
  • The Beta distribution acts as the conjugate prior for probabilities.
  • The Gamma distribution effectively models waiting times for multiple events.

2. Interactive Flashcards

Test your knowledge! Click a card to flip it.

PMF vs PDF

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PMF is for Discrete (P(X=x)). PDF is for Continuous (Area under curve).

What is a Z-Score?

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It measures how many standard deviations a data point is from the mean. Z = (x - μ) / σ

Beta Distribution Use Case?

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Modeling probabilities or proportions (bounded [0, 1]). E.g., CTR, Conversion Rate, Bayesian Priors.

Gamma vs Exponential?

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Exponential is waiting time for 1 event. Gamma is waiting time for k events.

Why use Log-Probabilities?

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To avoid underflow (tiny numbers becoming 0) and overflow (factorials) when calculating with many probabilities.

3. Cheat Sheet

Distribution Type Range Parameters Interpretation
Bernoulli Discrete {0, 1} p Single trial (Success/Fail)
Binomial Discrete {0..n} n, p Count successes in n trials
Poisson Discrete {0..∞} λ Count events in fixed interval
Gaussian Continuous (-∞, ∞) μ, σ Natural variation, Sum of errors (CLT)
Beta Continuous [0, 1] α, β Probability of a probability
Gamma Continuous [0, ∞) k, θ Waiting time for k events

4. Next Steps

Now that you understand the fundamental distributions, you’re ready to explore how they interact in higher dimensions.

Probability Glossary