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Cramér–Rao Bound

Fundamental lower limit on estimator variance from Fisher information

The Cramér–Rao bound states that for an unbiased estimator of parameter θ:

Var(estimator) ≥ 1 / I_F(θ)

where I_F is Fisher information. No amount of clever downstream processing can beat this limit — the bound is tight in the limit (e.g. maximum likelihood). A low-information sensor cannot be “fixed” by sophisticated L2 modelling; trustworthiness is ceilinged at observation.

Complements the data processing inequality (processing loses mutual information) with a measurement-theoretic floor on precision.

Corpus stance

A2 — working context: Formal support for “quality ceiling at observation”; see What Information Theory Says. (Cramér, 1946; Rao, 1945 — independent development of the inequality.)