Cox wanted his system to satisfy the following conditions:
Divisibility and comparability - The plausibility of a proposition is a real number and is dependent on information we have related to the proposition.
Common sense - Plausibilities should vary sensibly with the assessment of plausibilities in the model.
Consistency - If the plausibility of a proposition can be derived in many ways, all the results must be equal.
The postulates as stated here are taken from Arnborg and Sjödin. "Common sense" includes consistency with Aristotelian logic in the sense that logically equivalent propositions shall have the same plausibility. The postulates as originally stated by Cox were not mathematically rigorous, e.g., as noted by Halpern. However it appears to be possible to augment them with various mathematical assumptions made either implicitly or explicitly by Cox to produce a valid proof. Cox's notation: Cox's postulates and functional equations are:
The plausibility of the conjunction of two propositions,, given some related information, is determined by the plausibility of given and that of given.
Additionally, Cox postulates the function to be monotonic.
In case given is certain, we have and due to the requirement of consistency. The general equation then leads to
In case given is impossible, we have and due to the requirement of consistency. The general equation then leads to
The plausibility of a proposition determines the plausibility of the proposition's negation.
Furthermore, Cox postulates the function to be monotonic.
Implications of Cox's postulates
The laws of probability derivable from these postulates are the following. Let be the plausibility of the proposition given satisfying Cox's postulates. Then there is a function mapping plausibilities to interval and a positive number such that
It is important to note that the postulates imply only these general properties. We may recover the usual laws of probability by setting a new function, conventionally denoted or, equal to. Then we obtain the laws of probability in a more familiar form:
Certain truth is represented by, and certain falsehood by
Cox's theorem has come to be used as one of the justifications for the use of Bayesian probability theory. For example, in Jaynes it is discussed in detail in chapters 1 and 2 and is a cornerstone for the rest of the book. Probability is interpreted as a formal system of logic, the natural extension of Aristotelian logic into the realm of reasoning in the presence of uncertainty. It has been debated to what degree the theorem excludes alternative models for reasoning about uncertainty. For example, if certain "unintuitive" mathematical assumptions were dropped then alternatives could be devised, e.g., an example provided by Halpern. However Arnborg and Sjödin suggest additional "common sense" postulates, which would allow the assumptions to be relaxed in some cases while still ruling out the Halpern example. Other approaches were devised by Hardy or Dupré and Tipler. The original formulation of Cox's theorem is in which is extended with additional results and more discussion in. Jaynes cites Abel for the first known use of the associativity functional equation. Aczél provides a long proof of the "associativity equation". Jaynes reproduces the shorter proof by Cox in which differentiability is assumed. A guide to Cox's theorem by Van Horn aims at comprehensively introducing the reader to all these references.