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thomblake comments on How confident is your atheism? - Less Wrong Discussion
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To provide a more concrete mechanism for what you suggest:
5% is clearly a non-normalized probability. You can add up all those 5%'s, as well as whatever probability you'd apply to atheism, and then divide 5% by that sum. You now have a normalized probability that fits into a proper distribution.
Yes, this is a much clearer and more applicable technique.