<p>Knowing Bayesian statistics and probability theory is valuable for economists due to the existence of empirical methods and theoretical models using Bayesian probability theory, e.g.; beliefs in game theory are updated according to Bayes' rule, and there is an entire branch of econometrics called '<a href="https://en.wikipedia.org/wiki/Bayesian_econometrics" rel="nofollow noreferrer">Bayesian Econometrics</a>'.</p>
<p>However, there are probably better books to learn Bayesian probability from aimed at your level. 'Probability Theory - The Logic of Science' is not an easy read. According to Amazon: 'it is suitable for use as a textbook on graduate-level courses involving data analysis. Aimed at readers already familiar with applied mathematics at an advanced undergraduate level or higher'.</p>

CC BY-SA 4.0
2024-07-25T08:17:57.040Z
Any good books on that?
Otto
CC BY-SA 4.0
2024-07-25T09:33:47.683Z
A good book on what? On the value of knowing Bayesian statistics and probability theory? On Bayesian Econometrics? Bayesian Statistics? Bayesian Probability theory or the use of Bayes rule in economic theory?... The best place to begin would probably be Bayesian probability theory. You probably learn best by having a goal. One goal could be to learn to manipulate the most used distributions that have a closed-form solution for the posterior and derive the posterior using the Bayes rule.
Jesper Hybel
CC BY-SA 4.0
2024-07-18T10:45:35.180Z
2024-07-18T12:18:10.470Z
2024-07-18T12:18:10.470Z
Jesper Hybel
<p>As a college student,in a damn holiday morning,tutor push me to read and make a review comment of this book:Probability Theory-The Logic Of Science written by E.T.Jaynes.Probability of Bayes' theorem,which I merely  known in my highschool,why economists must learn that?
Forgiving my trash English Grammer,dear strangers，the vulnerability of English hinder my to the elite University.Sincerely,I hope get any assistance.</p>

CC BY-SA 4.0
2024-07-17T14:06:46.023Z
Knowing Bayesian statistics and probability theory is valuable for economists due to the existence of empirical methods and theoretical models using Bayesian probability theory. However, there are probably better books to learn Bayesian probability from aimed at your level. 'Probability Theory - The Logic of Science' is not an easy read. According to Amazon: 'it is suitable for use as a textbook on graduate-level courses involving data analysis. Aimed at readers already familiar with applied mathematics at an advanced undergraduate level or higher'.
Jesper Hybel
CC BY-SA 4.0
2024-07-18T03:43:01.740Z
Hi Matatron: There are some good bayesian texts written by economists so that might interest you also.  I have them all in storage so I can't give the titles  but some author names are  tony lancaster, arnold zellner and gary koop,  All excellent books written by those three.  Note that these economics authors assume knowledge of probability so you won't get that in these books. These books are more how to build models using bayesian theory. If I recall others, I'll add them in another comment.
mark leeds
CC BY-SA 4.0
2024-07-18T05:58:26.410Z
@JesperHybel We are unlikely to get much more detailed answers to a novice general question; consider posting your comment as an answer.
Giskard
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2024-07-18T06:08:22.273Z
Matatron: One other thing. It's been a really long time since I have looked at those books so it is possible that they contain some introduction to probability and the bayesian framework. But the focus in all of them is more using the bayesian approach in economic models. So, maybe they could be thought of as books for later. I'm really not certain so it's best if you check them out and decide.
mark leeds
CC BY-SA 4.0
2024-07-18T10:45:06.297Z
@Giskard I agree but I think some moderator should find a question that it is a duplicate of and close it. I post it as answer. Can you maybe edit answer and provide some key concepts from microeconomic theory that rely on bayesian probability theory. If I remember correctly you know your game theory.
Jesper Hybel
CC BY-SA 4.0
2024-07-18T12:19:43.867Z
Note that there is an inconsistency between the body and title of your question. In the title you ask "how", and in the body "why" an economist should learn Bayesian theory.
Giskard
CC BY-SA 4.0
2024-07-21T22:27:27.083Z
Jaynes's book is more of a polemic than a textbook.  He started with some fairly common arguments for Bayesian approaches, and then drifts off in his own direction with some of his thoughts, including maximum entropy.
Henry
<probability>
How to learn the Probability Theory as a undergraduate student?
Matatron
# How to learn the Probability Theory as a undergraduate student?

(Asked by: username_0 on 2024-07-17)

As a college student,in a damn holiday morning,tutor push me to read and make a review comment of this book:Probability Theory-The Logic Of Science written by E.T.Jaynes.Probability of Bayes' theorem,which I merely known in my highschool,why economists must learn that?
Forgiving my trash English Grammer,dear strangers，the vulnerability of English hinder my to the elite University.Sincerely,I hope get any assistance.

**Tags:** probability
> **Comments:**
> **username_1**: Knowing Bayesian statistics and probability theory is valuable for economists due to the existence of empirical methods and theoretical models using Bayesian probability theory. However, there are probably better books to learn Bayesian probability from aimed at your level. 'Probability Theory - The Logic of Science' is not an easy read. According to Amazon: 'it is suitable for use as a textbook on graduate-level courses involving data analysis. Aimed at readers already familiar with applied mathematics at an advanced undergraduate level or higher'.  
> **username_2**: Hi Matatron: There are some good bayesian texts written by economists so that might interest you also.  I have them all in storage so I can't give the titles  but some author names are  tony lancaster, arnold zellner and gary koop,  All excellent books written by those three.  Note that these economics authors assume knowledge of probability so you won't get that in these books. These books are more how to build models using bayesian theory. If I recall others, I'll add them in another comment.  
> **username_3**: @JesperHybel We are unlikely to get much more detailed answers to a novice general question; consider posting your comment as an answer.  
> **username_2**: Matatron: One other thing. It's been a really long time since I have looked at those books so it is possible that they contain some introduction to probability and the bayesian framework. But the focus in all of them is more using the bayesian approach in economic models. So, maybe they could be thought of as books for later. I'm really not certain so it's best if you check them out and decide.  
> **username_1**: @Giskard I agree but I think some moderator should find a question that it is a duplicate of and close it. I post it as answer. Can you maybe edit answer and provide some key concepts from microeconomic theory that rely on bayesian probability theory. If I remember correctly you know your game theory.  
> **username_3**: Note that there is an inconsistency between the body and title of your question. In the title you ask "how", and in the body "why" an economist should learn Bayesian theory.  
> **username_4**: Jaynes's book is more of a polemic than a textbook.  He started with some fairly common arguments for Bayesian approaches, and then drifts off in his own direction with some of his thoughts, including maximum entropy.  

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## 1 answers

### Answer by username_1 on 2024-07-18. Score: 3

Knowing Bayesian statistics and probability theory is valuable for economists due to the existence of empirical methods and theoretical models using Bayesian probability theory, e.g.; beliefs in game theory are updated according to Bayes' rule, and there is an entire branch of econometrics called '[Bayesian Econometrics](https://en.wikipedia.org/wiki/Bayesian_econometrics)'.

However, there are probably better books to learn Bayesian probability from aimed at your level. 'Probability Theory - The Logic of Science' is not an easy read. According to Amazon: 'it is suitable for use as a textbook on graduate-level courses involving data analysis. Aimed at readers already familiar with applied mathematics at an advanced undergraduate level or higher'.

> **Comments:**
> **username_5**: Any good books on that?  
> **username_1**: A good book on what? On the value of knowing Bayesian statistics and probability theory? On Bayesian Econometrics? Bayesian Statistics? Bayesian Probability theory or the use of Bayes rule in economic theory?... The best place to begin would probably be Bayesian probability theory. You probably learn best by having a goal. One goal could be to learn to manipulate the most used distributions that have a closed-form solution for the posterior and derive the posterior using the Bayes rule.  

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