Approximating Binomial Distributions with Poisson Distributions

Approximating Binomial Distributions with Poisson Distributions: The “law of rare events” or “Poisson limit theorem”, in layman’s terms states that where the independent events have a very low i.e., “rare” probability and number of trials are very large, the Binomial Distributions can be modeled by Poisson Distributions. This was done after Poisson’s work which generalized …

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