Chapter 1 NOTES

Introduction to Statistics
1-1
1-2
1-3

Statistics: Descriptive and Inferential

Types of Data
Collection of Sample Data

1.1 Statistics: Descriptive and Inferential:

Statistics:
the science of collection, presentation, analysis and interpretation of numerical data.
Statistics provides tools that you need in order to react intelligently to information you hear or
read. In this sense, Statistics is one of the most important things that you can study. To be more
specific, here are some claims that we have heard on several occasions. (We are not saying
that each one of these claims is true!)
4 out of 5 dentists recommend Colgate.
Almost 85% of lung cancers in men and 45% in women are tobacco-related.
Condoms are effective 94% of the time.
A surprising new study shows that eating egg whites can increase one's life span.
Descriptive statistics
involves methods of organizing, picturing, and summarizing information from samples or
populations.
Examples:
1. Of 350 randomly selected people in the town of San Fernando City, La Union, 280 people
had the last name de la Cruz. An example of descriptive statistics is the following
statement: "80% of the people of San Fernando City, La Union have the last name de la
Cruz."
2. On the last 3 Sundays, Mario Santos sold 2, 1, and 0 new cars respectively. An example
of descriptive statistics is the following statement: "Mario averaged 1 new car sold for the
last 3 Sundays."
Inferential statistics
involves methods of using information from a sample to draw conclusions regarding the
population.
Examples:
1. "80% of all people living in La Union have the last name de la Cruz." We have no
information about all people living in La Union, just about the 350 living in San Fernando
City. We have taken that information and generalized it to talk about all people living in La
Union.
2. a. "Mario never sells more than 2 cars on a Sunday."
b. "Mario is selling fewer cars lately because people have caught on to his dirty tricks."
c. "Mario sold 0 cars last Sunday because he fell asleep in one of the cars on the lot."
1.2 Types of Data:
Individuals are the people or objects included in the study.
A variable is a characteristic of the individual to be measured or observed.
Example: On a study about the people who have climbed Mt. Everest,
individuals in the study are all people who have actually made it to the peak
variable might be the height, age, weight, gender, nationality, and so on of such individuals
Data: observations (such as measurements, survey responses) that have been collected.
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In population data, the data are from every individual of interest.

In sample data, the data are from only some of the individuals of interest.
A parameter is a numerical measure that describes an aspect of a population.
A statistic is a numerical measure that describes an aspect of a sample.
Example: On the study about the people who have climbed Mt. Everest, if we have data from all
the individuals who have climbed Mt. Everest, then we have population data. The
proportion of males in the population of all climbers who have conquered Mt. Everest
is an example of a parameter. On the other hand, if our data come from just some of
the climbers, we have sample data. The proportion of male climbers in the sample is
an example of a statistic.
A quantitative variable has a value or numerical measurement for which operations such as
addition or averaging make sense. The possible responses that can be obtained from a
quantitative variable are called quantitative data.
Example: For the Mt. Everest climbers, height, weight, age are quantitative variables.
A qualitative/ categorical variable describes an individual by placing the individual into a
category or group,
such as male or female. The possible responses that can be obtained from a qualitative variable
are called qualitative data.
Example: For the Mt. Everest climbers, gender, nationality are qualitative variables.
EXAMPLE: The Hawaii Department of Tropical Agriculture is conducting a study of ready toharvest pineapples in an experimental field.
a. The pineapples are the individuals of the study. If the researchers are interested in the
individual weights of pineapples in the field, then the variable consists of weights. Weight
is a quantitative variable because it is a numerical measure. If weights of all the ready-toharvest pineapples in the field are included in the data, then we have a population. The
average weight of all ready-to-harvest pineapples in the field is a parameter.
b. Suppose the researchers also want data on taste. A panel of tasters rates the pineapples
according to the categories poor, acceptable, and good. Only some of the pineapples
are included in the taste test. In this case, the variable is taste. This is a qualitative or
categorical variable. Because only some of the pineapples in the field are included in the
study, we have a sample. The proportion of pineapples in the sample with a taste rating
of good is a statistic.

Quantitative data can further be distinguished between discrete and

continuous types:
Discrete:
(numerical) data result when the number of possible values is either a finite number or a
countable number of possible values. 0, 1, 2, 3, . . .
Example: The number of eggs that hens lay.
Continuous
(numerical) data result from infinitely many possible values that correspond to some
continuous scale that covers a range of values without gaps, interruptions, or jumps.

Another way to classify data is to use levels of measurement.

Nominal level of measurement
characterized by data that consist of names, labels, or categories only. The data cannot be
arranged in an ordering scheme (such as low to high)
Example: survey responses yes, no, undecided
Ordinal level of measurement
involves data that may be arranged in some order, but differences between data values either
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cannot be determined or are meaningless

Example: Letter grades A, B, C, or D
Interval level of measurement
like the ordinal level, with the additional property that the difference between any two data
values is meaningful. However, there is no natural zero starting point.
Example: Years 1000, 2000, 1776, and 1492
Ratio level of measurement
the interval level modified to include the natural zero starting point For values at this level,
differences are meaningful.
Example: Prices of college textbooks (P0 represents no cost)
Classify data as to univariate, bivariate, multivariate (include outline for this too)
Summary:
Nominal - categories only
Ordinal - categories with some order
Interval - differences but no natural starting point
Ratio - differences and a natural starting point
1-3 Collection of Sample Data
Sample data must be collected in an appropriate way, such as through a process of random
selection. If sample data are not collected in an appropriate way, the inferences drawn from
them would be erroneous.
We typically obtain data from two distinct sources: observational studies and experiments.
Observational Study
observing and measuring specific characteristics without attempting to modify the subjects
being studied
Example: A poll in which respondents were asked who they would vote for in the presidential
election is an observational study. The subjects were asked for their choices.
Experiment
apply some treatment and then observe its effects on the subjects (Individuals in
experiments are called experimental units.)
Example: A study on the effectiveness of a teaching strategy. Responses of those in the
experimental group may be affected by the teaching strategy applied (treatment).
Whether conducting an observational study or an experiment, it is important to select the
sample of subjects in such a way that the sample is likely to be representative of the larger
population.
Simple Random Sample (of size n):
subjects selected in such a way that every possible sample of the same size n has the same
chance of being chosen
In a random sample, members from the population are selected in such a way that each
individual member in the population has an equal chance of being selected.
A probability sample involves selecting members from a population in such a way that each
member of the population has a known (but not necessarily the same) chance of being
selected.
Example: Each of the 50 US states sends two senators to Congress, so there are exactly 100
senators. Suppose that we write the name of each state on a separate index card,
then mix the 50 cards in a bowl, and then select one card. If we consider the two
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senators from the selected state to be a sample, is this result a random sample?
Simple random sample? Probability sample?
The sample is a random sample because each individual senator has the same
chance (one chance in 50) of being selected. The sample is not a simple random
sample because not all samples of size 2 have the same chance of being chosen.
(For example, it is impossible to select 2 senators from different states.) The sample
is a probability sample because each senator has a known chance (one chance in
50) of being selected.
Other Sampling Techniques:
Systematic Sampling:
Select some starting point and then select every kth element in the population

Convenience Sampling:
use results that are easy to get

Stratified Sampling:
subdivide the population into at least two different subgroups that share the same
characteristics, then draw a sample from each subgroup (or stratum)

Cluster Sampling
divide the population into sections (or clusters); randomly select some of those clusters; choose
all members from selected clusters

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It is easy to confuse stratified sampling and cluster sampling, because they both use subgroups.
But cluster sampling uses all members from a sample of clusters, whereas stratified sampling
uses a sample of members from all strata.

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