# law of large numbers

Definition
Popular Terms
Statistical concept that larger the sample population (or the number of observations) used in a test, the more accurate the predictions of the behavior of that sample, and smaller the expected deviation in comparisons of outcomes. As a general principle it means that, in the long run, the average (mean) of a long series of observations may be taken as the best estimate of the 'true value' of a variable. In other words, what is unpredictable and chancy in case of an individual is predictable and uniform in the case of a large group. This law forms the basis for the expectation of probable-loss upon which insurance premium rates are computed.
Also called law of averages. See also law of small numbers and law of statistical regularity.

## Use 'law of large numbers' in a Sentence

Jerry couldn't decide what tie to wear to work today, so he brought two and decided to apply the law of large numbers by polling his entire office.
The law of large numbers dictated that we would expect a positive result if we increased our volume and sample size.
We went by the law of large numbers theory and I think that is the reason we were able to get such accurate results.

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