|Sigma Series in Stochastics, Volume 1, 175--213|
Heldermann Verlag 2004
Elart von Collani
University of Würzburg, Sanderring 2, 97070 Würzburg, Germany
Any science consists of a theoretical part and an empirical part. The empirical part deals with the connection between the theoretical models and real world. The connection is established by procedures allowing to develop theoretical models on the basis of empirical experience and to exploit theoretical models in order to make statements about real world aspects. This paper develops scientific procedures to deal with ignorance and randomness as sources for uncertainty. It is shown that any stochastic procedure is based on an appropriate prediction allowing to develop unified principles for the development of optimal stochastics procedures.