Incidentally, the same argument also applies to Governor Earl Warren's statement quoted in Absence of evidence is evidence of absence: He can be seen as arguing that there are at least three possibilities, (1) there is no fifth column, (2) there is a fifth column and it supposed to do sabotage independent from an invasion, (3) there is a fifth column and it is supposed to aid a Japanese invasion of the West Coast. In case (2), you would expect to have seen sabotage; in case (1) and (3), you wouldn't, because if the fifth column were known to exist by the time of the invasion, it would be much less effective. Thus, while observing no sabotage is evidence against the fifth column existing, it is evidence in favor of a fifth column existing and being intended to support an invasion. I recently heard Eliezer claim that this was giving Warren too much credit when someone was pointing out an interpretation similar to this, but I'm pretty sure this argument was represented in Warren's brain (if not in explicit words) when he made his statement, even if it's pretty plausible that his choice of words was influenced by making it sound as if the absence of sabotage was actually supporting the contention that there was a fifth column.

In particular, Warren doesn't say that the lack of subversive activity convinces him that there is a fifth column, he says that it convinces him "that the sabotage we are to get, the Fifth Column activities are to get, are timed just like Pearl Harbor was timed". Moreover, in , he claims that there are reasons to think (1) very unlikely, namely that, he alleges, the Axis powers all use them everywhere else:

To assume that the enemy has not planned fifth column activities for us in a wave of sabotage is simply to live in a fool's paradise. These activities, whether you call them "fifth column activities" or "sabotage" or "war behind the lines upon civilians," or whatever you may call it, are just as much an integral part of Axis warfare as any of their military and naval operations. When I say that I refer to all of the Axis powers with which we are at war. [...] Those activities are now being used actively in the war in the Pacific, in every field of operations about which I have read. They have unquestionably, gentlemen, planned such activities for California. For us to believe to the contrary is just not realistic.

I.e., he claims that (1) would be very unique given the Axis powers' behavior elsewhere. On the other hand, he suggests that (3) fits a pattern of surprise attacks:

[...] It convinces me more than perhaps any other factor that the sabotage that we are to get, the fifth column activities that we are to get, are timed just like Pearl Harbor was timed and just like the invasion of France, and of Denmark, and of Norway, and all of those other countries.

And later, he explicitly argues that you wouldn't expect to have seen sabotage in case (3):

If there were sporadic sabotage at this time or if there had been for the last 2 months, the people of California or the Federal authorities would be on the alert to such an extent that they could not possibly have any real fifth column activities when the M-day comes.

So he has the pieces there for a correct Bayesian argument that a fifth column still has high posterior probability after seeing no sabotage, and that a fifth column intended to support an invasion has higher posterior than prior probability: Low prior probability of (1); (comparatively) high prior probability of (3); and an argument that (3) predicts the evidence nearly as well as (1) does. I'm not saying his premises are true, just that the fact that he claims all of them suggests that his brain did in fact represent the correct argument. The fact that he doesn't say that this argument convinces him "more than anything" that there is a fifth column, but rather says that it convinces him that the sabotage will be timed like Pearl Harbor (and France, Denmark and Norway), further supports this -- though, as noted above, while I think that his brain did represent the correct argument, it does seem plausible that his words were chosen so as to suggest the alternative interpretation as well.