The writer last quoted says that the valuation of chances by comparing the number of cases in which the event occurs with the number in which it does not occur, “would generally be wholly erroneous,” and “is not the true theory of probability.” It is at least that which forms the foundation of insurance, and of all those calculations of chances in the business of life which experience so abundantly verifies. The reason which the reviewer gives for rejecting the theory is, that it “would regard an event as certain which had hitherto never failed; which is exceedingly far from the truth, even for a very large number of constant successes.” This is not a defect in a particular theory, but in any theory of chances. No principle of evaluation can provide for such a case as that which the reviewer supposes. If an event has never once failed, in a number of trials sufficient to eliminate chance, it really has all the certainty which can be given by an empirical law; it is certain during the continuance of the same collocation of causes which existed during the observations. If it ever fails, it is in consequence of some change in that collocation. Now, no theory of chances will enable us to infer the future probability of an event from the past, if the causes in operation, capable of influencing the event, have intermediately undergone a change.

Pp. 18, 19. The theorem is not stated by Laplace in the exact terms in which I have stated it; but the identity of import of the two modes of expression is easily demonstrable.

For a fuller treatment of the many interesting questions raised by the theory of probabilities, I may now refer to a recent work by Mr. Venn, Fellow of Caius College, Cambridge, “The Logic of Chance;” one of the most thoughtful and philosophical treatises on any subject connected with Logic and Evidence which have been produced, to my knowledge, for many years. Some criticisms contained in it have been very useful to me in revising the corresponding chapters of the present work. In several of Mr. Venn’s opinions, however, I do not agree. What these are will be obvious to any reader of Mr. Venn’s work who is also a reader of this.