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It is easy enough to modify the linked script for any scenario that you want.

If 2 engines failed on the next launch, the model would predict a 4.8% chance of failure on the following launch.

As for your "build your model from a billion launches and 20 million failures" comment, if I had that much data, then it wouldn't much matter what reasonable set of priors that I started with, I'd wind up convinced that the true failure rate was very close to 2%.

Note that the prior that I am talking about is the distribution of possible theories before I saw ANY data.



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