2009
DOI: 10.1111/j.1751-5823.2008.00059.x
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Exchangeability, Correlation, and Bayes' Effect

Abstract: We examine the difference between Bayesian and frequentist statistics in making statements about the relationship between observable values. We show how standard models under both paradigms can be based on an assumption of exchangeability and we derive useful covariance and correlation results for values from an exchangeable sequence. We find that such values are never negatively correlated, and are generally positively correlated under the models used in Bayesian statistics. We discuss the significance of thi… Show more

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Cited by 25 publications
(13 citation statements)
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“…Third, to quantify the danger that strong evidence in favor of our alternative hypotheses could arise by chance from testing 3528 estimated cortical sources, permutation tests for each hypothesis were performed (10,000 iterations, randomly shuffling the order of conditions 3528 times within participants). Permutation tests have been used extensively to control type 1 errors when analyzing neuroimaging data from a frequentist statistical perspective (Maris and Oostenveld, 2007;Winkler et al, 2014) and conceptually tie directly to the Bayesian assumption of exchangeability (O'Neill, 2009). The 95th percentiles of the empirical distributions of Bayes factor values arising from these permutation tests were far below (ssVEP, 0.54; alpha, 1.079) the minimum Bayes factor of 3:1 in favor of the alternative hypothesis that we adopt in displaying or discussing statistical comparisons.…”
Section: Discussionmentioning
confidence: 99%
“…Third, to quantify the danger that strong evidence in favor of our alternative hypotheses could arise by chance from testing 3528 estimated cortical sources, permutation tests for each hypothesis were performed (10,000 iterations, randomly shuffling the order of conditions 3528 times within participants). Permutation tests have been used extensively to control type 1 errors when analyzing neuroimaging data from a frequentist statistical perspective (Maris and Oostenveld, 2007;Winkler et al, 2014) and conceptually tie directly to the Bayesian assumption of exchangeability (O'Neill, 2009). The 95th percentiles of the empirical distributions of Bayes factor values arising from these permutation tests were far below (ssVEP, 0.54; alpha, 1.079) the minimum Bayes factor of 3:1 in favor of the alternative hypothesis that we adopt in displaying or discussing statistical comparisons.…”
Section: Discussionmentioning
confidence: 99%
“…An experimental concept will be incorrect when one or more of its exchangeability judgments violate reality. The constituent assumptions can often be tested independently of the model; e.g., through correlation analysis and other types of data checks (57,74,75). In our example, if the frequency estimator k/N increases in the long run (e.g., if the proportion N 1 /N 0 increases), then the event set is not likely to be exchangeable, and the experimental concept of test 1 needs to be rethought to allow for this secular time dependence.…”
Section: Discussionmentioning
confidence: 99%
“…Whether frequentist or Bayesian, the essential statistical nature of random effects stems from their specification as arising from a common probability distribution whose parameters, to be estimated in some manner, often, but not always, include just a single variance parameter (Kutner et al 2004, Gamerman and Lopes 2006, Gelman and Hill 2007, Ramsey and Schafer 2013, Gelman et al 2014). In the context of random effects, the units or group levels, i.e., experimental units, observational units, individuals, subjects, etc., such as a subset of trees randomly selected from a multi‐hectare plot, are often viewed as exchangeable (Draper et al 1993, O'Neill 2009). In particular, the observed units (e.g., trees) are typically treated as conditionally independent, arising from a common probability distribution described by (conditional on), for example, variance and/or covariance parameters that quantify variability among the units.…”
Section: A Bayesian Perspective On Fixed Vs Random Effectsmentioning
confidence: 99%