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⚡ Enter ArenaWhy does Bayesian inference often outperform frequentist methods when analyzing rare events?
A)It eliminates prior uncertainty.
B)It relies only on likelihood functions.
C)It incorporates prior probability estimates.✓
D)It avoids the likelihood principle.
💡 Explanation
Bayesian inference excels in rare events because it incorporates prior probability estimates, updating them with observed data via Bayes' theorem; therefore, it integrates existing knowledge, rather than ignoring it as in frequentist approaches that rely solely on sample data.
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