In this course, part of Harvard University's Professional Certificate Program in Data Science, you will learn valuable concepts in probability theory. The motivation for this course is the circumstances surrounding the financial crisis of 2007-2008. Part of what caused this financial crisis was that the risk of some securities sold by financial institutions was underestimated. To begin to understand this very complicated event, you will need to understand the basics of probability.
You will be introduced to important concepts such as random variables, independence, Monte Carlo simulations, expected values, standard errors, and the Central Limit Theorem. These statistical concepts are fundamental to conducting statistical tests on data and understanding whether the data you are analyzing is likely occurring due to an experimental method or to chance.
Topics of study
Important concepts in probability theory including random variables and independence
How to perform a Monte Carlo simulation
The meaning of expected values and standard errors and how to compute them in R
About Harvard University
Harvard University is devoted to excellence in teaching, learning and research, and to developing leaders in many disciplines who make a difference globally. Harvard faculty are engaged with teaching and research to push the boundaries of human knowledge. The University has 12 degree-granting schools in addition to the Radcliffe Institute for Advanced Study.
Established in 1636, Harvard is the oldest institution of higher education in the United States. The University, which is based in Cambridge and Boston, Massachusetts, has an enrollment of over 20,000 degree candidates, including undergraduate, graduate and professional students. Harvard has more than 360,000 alumni around the world.