Probability · Topic 6 of 9

The Poisson Distribution
Modelling Rare Events in Time and Space

Customers arriving, radioactive decays, typos per page: whenever you count occurrences in a fixed interval, the Poisson distribution is the right tool.

10 Worked Examples Interactive Bar Chart Probability Table 10-Question Quiz ~1,900 words
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01 — What Is the Poisson Distribution?

The Poisson distribution (named after French mathematician Siméon Denis Poisson, 1837) models the number of times an event occurs in a fixed interval of time or space, under three conditions:

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Three Conditions for a Poisson Process
1. Events occur independently — one event does not make another more or less likely.
2. Events occur at a constant average rate λ (lambda) per interval.
3. Two events cannot occur at exactly the same instant (events are singular).

Real-world examples that satisfy these conditions: the number of phone calls arriving at a call centre per hour; the number of particles emitted by a radioactive source per second; the number of potholes per kilometre of road; the number of typos per page in a book; the number of goals in a football match.

The Poisson distribution is a discrete distribution, X can take values 0, 1, 2, 3, … with no upper bound. The single parameter λ (lambda) is both the mean and the variance of the distribution, a remarkable property we prove below.

02 — The Probability Mass Function (PMF)

If X ~ Poisson(λ), the probability of observing exactly k events is:

Poisson PMF — Core Formula
P(X = k) = (λᵏ · e⁻λ) / k!    for k = 0, 1, 2, 3, …
where: λ > 0 = average rate (events per interval) · e ≈ 2.71828 · k! = k factorial
Read: "the probability of exactly k events equals lambda-to-the-k, times e-to-the-minus-lambda, divided by k-factorial."

Verifying the PMF Sums to 1

A legitimate PMF must satisfy Σ P(X = k) = 1 for k = 0, 1, 2, … Substituting the formula:

Σ (λᵏ e⁻λ)/k! = e⁻λ · Σ λᵏ/k! = e⁻λ · eλ = e⁰ = 1 ✓

The last step uses the Maclaurin series for eˣ: eˣ = Σ xᵏ/k!. See Maclaurin Series for the full derivation.

03 — Mean and Variance: Both Equal λ

Mean & Variance of the Poisson Distribution
E[X] = λ      Var(X) = λ      SD(X) = √λ
The fact that mean = variance is the single most important property of the Poisson distribution — and the quickest way to check if Poisson is appropriate for a dataset.

Deriving E[X] = λ

E[X] = Σ k · (λᵏ e⁻λ) / k!
     = Σ (λᵏ e⁻λ) / (k−1)!   [cancel k with k!]
     = λ e⁻λ · Σ λʲ / j!      [substitute j = k−1]
     = λ e⁻λ · eλ = λ

The variance derivation uses E[X²] = E[X(X−1)] + E[X], showing that E[X(X−1)] = λ², hence Var(X) = E[X²] − (E[X])² = λ² + λ − λ² = λ.

04 — Interactive Distribution Chart

Poisson PMF: Drag the slider to change λ

E[X] = 3  |  Var(X) = 3  |  SD = 1.73
The distribution shifts right and spreads out as λ increases. For large λ (≥ 10), the shape approximates a normal bell curve.

05 — Probability Table for Selected λ Values

Quick reference: P(X = k) rounded to 4 decimal places:

k λ = 1 λ = 2 λ = 3 λ = 4 λ = 5
00.36790.13530.04980.01830.0067
10.36790.27070.14940.07330.0337
20.18390.27070.22400.14650.0842
30.06130.18040.22400.19540.1404
40.01530.09020.16800.19540.1755
50.00310.03610.10080.15630.1755
60.00050.01200.05040.10420.1462
70.00010.00340.02160.05950.1044
80.00000.00090.00810.02980.0653

06 — Poisson Approximation to the Binomial

When n is large and p is small, computing the binomial PMF B(n, p) becomes unwieldy. The Poisson distribution provides an excellent approximation:

Poisson Approximation Rule
If X ~ B(n, p) with n large and p small,
then X ≈ Poisson(λ) where λ = np
Guideline: use this approximation when n ≥ 50 and p ≤ 0.1 (or equivalently np ≤ 5). The approximation improves as n → ∞ and p → 0 while np remains constant.

Why Does This Work?

The binomial PMF is C(n,k) pᵏ (1−p)ⁿ⁻ᵏ. Substituting p = λ/n and taking the limit as n → ∞:

C(n,k) · (λ/n)ᵏ · (1−λ/n)ⁿ⁻ᵏ
→ (nᵏ/k!) · (λᵏ/nᵏ) · e⁻λ = λᵏ e⁻λ / k!

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When to use which: Use the Binomial distribution when n is small or p is not small. Switch to Poisson when n ≥ 50, p ≤ 0.1, and you want a simpler calculation.

07 — Cumulative and "At Least" Probabilities

Many problems ask for P(X ≤ k) or P(X ≥ k) rather than exactly k. The strategies are:

Cumulative Poisson Probabilities
P(X ≤ k) = Σⱼ₌₀ᵏ P(X = j)
P(X ≥ k) = 1 − P(X ≤ k−1)   [complement rule]
P(a ≤ X ≤ b) = P(X ≤ b) − P(X ≤ a−1)
Always build cumulative sums from k = 0 upward. For P(X ≥ 1), the complement P(X = 0) = e⁻λ is especially clean.

08 — Ten Worked Examples

EX 01 Basic PMF — phone calls per hour

Calls arrive at a switchboard at an average rate of λ = 4 per hour. Find the probability that exactly 2 calls arrive in a given hour.

1
Identify: X ~ Poisson(4), k = 2.
2
Apply the formula: P(X=2) = (4² · e⁻⁴) / 2!
3
= (16 × 0.018316) / 2 = 0.29306 / 2
P(X = 2) ≈ 0.1465  — about 14.65% chance.
EX 02 P(X = 0) — the zero-event probability

A hospital records on average 3 accidents per week. What is the probability of zero accidents in a week?

1
X ~ Poisson(3), k = 0.
2
P(X=0) = (3⁰ · e⁻³) / 0! = 1 · e⁻³ / 1 = e⁻³
3
e⁻³ ≈ 0.0498
P(X = 0) ≈ 0.0498 — only a 5% chance of a zero-accident week.
EX 03 Cumulative — P(X ≤ 2)

With λ = 3, find P(X ≤ 2).

1
P(X=0) = e⁻³ ≈ 0.0498
2
P(X=1) = 3e⁻³ ≈ 0.1494
3
P(X=2) = (9/2)e⁻³ ≈ 0.2240
4
P(X ≤ 2) = 0.0498 + 0.1494 + 0.2240
P(X ≤ 2) ≈ 0.4232
EX 04 At least one — P(X ≥ 1)

A Geiger counter detects radioactive particles at a rate of λ = 2 per minute. Find P(X ≥ 1) in one minute.

1
Use the complement: P(X ≥ 1) = 1 − P(X = 0)
2
P(X = 0) = e⁻² ≈ 0.1353
3
P(X ≥ 1) = 1 − 0.1353
P(X ≥ 1) ≈ 0.8647 — an 86.5% chance of detecting at least one particle.
EX 05 Rescaling the interval — from hourly to 30-minute rate

Emails arrive at a rate of 6 per hour. What is the probability of receiving exactly 4 emails in 30 minutes?

1
Scale λ to the new interval: 30 min = ½ hour, so λ₃₀ = 6 × ½ = 3
2
X ~ Poisson(3), k = 4: P(X=4) = (3⁴ · e⁻³) / 4!
3
= (81 × 0.0498) / 24 = 4.0338 / 24
P(X = 4) ≈ 0.1680 — about 16.8% chance.
EX 06 Poisson approximation to binomial

A factory produces 1,000 bolts per day. Each bolt has a 0.005 (0.5%) probability of being defective. Find the approximate probability that exactly 3 bolts are defective, using the Poisson approximation.

1
Check conditions: n = 1000 (large), p = 0.005 (small) ✓. Use Poisson with λ = np = 1000 × 0.005 = 5
2
P(X=3) = (5³ · e⁻⁵) / 3! = (125 × 0.006738) / 6
3
= 0.84224 / 6 ≈ 0.1404
P(X = 3) ≈ 0.1404 — exact binomial gives 0.1402, confirming the approximation is excellent.
EX 07 Mean and standard deviation

A call centre receives on average 9 calls per hour. State the mean, variance, and standard deviation of the number of calls per hour.

1
X ~ Poisson(9). E[X] = λ = 9
2
Var(X) = λ = 9
3
SD(X) = √9 = 3
Mean = 9, Variance = 9, SD = 3 — mean = variance is the Poisson hallmark.
EX 08 P(X > 2) using complement

With λ = 1.5, find P(X > 2).

1
P(X > 2) = 1 − P(X ≤ 2)
2
P(0) = e⁻¹·⁵ ≈ 0.2231, P(1) = 1.5e⁻¹·⁵ ≈ 0.3347, P(2) = (2.25/2)e⁻¹·⁵ ≈ 0.2510
3
P(X ≤ 2) ≈ 0.2231 + 0.3347 + 0.2510 = 0.8088
4
P(X > 2) = 1 − 0.8088
P(X > 2) ≈ 0.1912
EX 09 Finding λ from a given probability

The probability of zero events in an interval is 0.0821. Find λ.

1
P(X = 0) = e⁻λ = 0.0821
2
Take natural log: −λ = ln(0.0821) ≈ −2.5
3
λ = 2.5
λ = 2.5 events per interval.
EX 10 Range probability — P(2 ≤ X ≤ 4)

With λ = 2.5, find P(2 ≤ X ≤ 4).

1
P(X=2) = (2.5² · e⁻²·⁵)/2! = (6.25 × 0.0821)/2 ≈ 0.2565
2
P(X=3) = (2.5³ · e⁻²·⁵)/3! = (15.625 × 0.0821)/6 ≈ 0.2138
3
P(X=4) = (2.5⁴ · e⁻²·⁵)/4! = (39.0625 × 0.0821)/24 ≈ 0.1336
4
P(2 ≤ X ≤ 4) = 0.2565 + 0.2138 + 0.1336
P(2 ≤ X ≤ 4) ≈ 0.6039 — about a 60% chance.

09 — Common Mistakes

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Mistake 1 — Wrong interval: If λ is given per hour but the problem asks about 15 minutes, you must rescale: λ₁₅ = λ × (15/60). Forgetting this is the most common Poisson error.
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Mistake 2 — Using Poisson when independence fails: If events cluster together (e.g., earthquakes triggering aftershocks, or a busy period causing correlated arrivals), the Poisson model is inappropriate.
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Mistake 3 — Forgetting 0! = 1: For k = 0, the formula gives λ⁰ e⁻λ / 0! = e⁻λ, not zero. Students sometimes write 0! = 0 by analogy with 0 × anything = 0. By convention, 0! = 1.
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Mistake 4 — Confusing P(X = k) with P(X ≤ k): "At most 3 events" means P(X ≤ 3) = P(0) + P(1) + P(2) + P(3). "Exactly 3 events" means only P(3). Read the question carefully.

10 — Quiz: Poisson Distribution (10 Questions)

Score: 0 / 0
Question 1 of 10
For X ~ Poisson(λ), which statement is always true?
Question 2 of 10
Cars pass a checkpoint at an average rate of 5 per minute. Find P(X = 0) in one minute. (Use e⁻⁵ ≈ 0.0067)
Question 3 of 10
λ = 4 per hour. What is λ for a 30-minute interval?
Question 4 of 10
P(X = 0) = e⁻λ = 0.1353. What is λ? (Use ln(0.1353) ≈ −2)
Question 5 of 10
The Poisson approximation to B(n, p) is appropriate when…
Question 6 of 10
With λ = 3, find P(X ≥ 1). (Use e⁻³ ≈ 0.0498)
Question 7 of 10
What is 0! equal to in the Poisson formula?
Question 8 of 10
X ~ Poisson(9). What is SD(X)?
Question 9 of 10
A website has 500 visitors per day, each independently clicking an ad with probability 0.004. Using Poisson approximation, what is λ for clicks per day?
Question 10 of 10
As λ increases, the shape of the Poisson distribution becomes…

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