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How does one predict?

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Anonymous

15y ago
Updated: 8/18/2019

Systematic predictions are based upon historical behavior and trends. For example, if for the past seven days, the hottest time of the day is between 2 and 3 PM, then I can predict that the hottest time of tomorrow will also occur between 2 and 3 PM.

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Behavioral predictions are commonly used in insurance and financing companies. Their reasoning is, if you exhibited a behavior in the past, then you are more likely to exhibit that behavior in the future compared to someone who has never exhibited that behavior. For example, if you always pay your credit card bills on time, then when you ask for an increase in your credit limit, you will have a better chance of being qualified for that increase compared to someone who is habitually late in paying their bills, because the credit card company predicts that you will continue to pay your bills on time. Similarly, if you have been in several car accidents that were deemed your fault, your insurance company will charge you higher rates compared to someone who has never been in an accident that was their fault, because the insurance company predicts that you are more likely to be in an another accident in which the insurance company will have to pay out a settlement.

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Wiki User

15y ago

What else can I help you with?