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Statistics 1-1

The document provides an overview of statistics, defining it as the science of collecting and analyzing numerical data for decision-making. It classifies statistics into descriptive and inferential branches and outlines the five stages of statistical investigation: data collection, organization, presentation, analysis, and inference. Additionally, it discusses key statistical terms, applications, uses, and limitations of statistics.

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24 views4 pages

Statistics 1-1

The document provides an overview of statistics, defining it as the science of collecting and analyzing numerical data for decision-making. It classifies statistics into descriptive and inferential branches and outlines the five stages of statistical investigation: data collection, organization, presentation, analysis, and inference. Additionally, it discusses key statistical terms, applications, uses, and limitations of statistics.

Uploaded by

tigabie2993
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOC, PDF, TXT or read online on Scribd
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1.

INTRODUCTION
1.1 Definition and classifications of statistics
Definition:
We can define statistics in two ways.
1. Plural sense (lay man definition).
It is defined as an aggregate of numerical facts collected in a
systematic manner for a predetermined purpose.
2. Singular sense (formal definition)
Statistics is defined as the science of collecting, organizing,
presenting, analyzing and interpreting numerical data for the
purpose of making decision on the bases of such analysis.
Classifications:
Depending on how data can be used statistics is divided in to
two main areas or branches.
1. Descriptive Statistics: it is an area of statistics which is mainly
concerned with the methods and techniques used in collection, organization,
presentation, and analysis of a set of data without making any conclusions or
inferences. It is concerned with a summary calculations, graphs,

charts and tables.


2. Inferential Statistics: It is a method of inferring or drawing
conclusion about the characteristics of the population based upon the results of a
sample. For example, the average income of all families (the

population) in Ethiopia can be estimated from figures


obtained from a few hundred (the sample) families.
 It is important because statistical data usually arises
from sample.
 Statistical techniques based on probability theory are
required.

1.2 Stages in Statistical Investigation

There are five stages or steps in any statistical investigation.


1. Collection of data: the process of measuring, gathering and assembling of the raw
data up on which the statistical investigation is to be based.

By: Hussen A.
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2. Organization of data: It is a stage where we edit and arrange our data .A large mass
of figures that are collected from surveys frequently need organization. The collected
data involve irrelevant figures, incorrect facts, omission and mistakes. Errors that may
have been included during collection will have to be edited.
3. Presentation of the data: The process of re-organization, classification, compilation,
and summarization of data to present it in a meaningful form.
4. Analysis of data: The process of extracting relevant information from the summarized
data, mainly through the use of elementary mathematical operation.
5. Inference of data: The interpretation and further observation of the various statistical
measures through the analysis of the data by implementing those methods by which
conclusions are formed and inferences made.
1.3 Definitions of some terms
a. Statistical Population: It is the collection of all possible observations of a specified
characteristic of interest (possessing certain common property) and being under
study. An example is all of the students in SU 2101 course in this term.
b. Sample: It is a subset of the population, selected using some sampling technique in
such a way that they represent the population.
c. Sampling: The process or method of sample selection from the population.
d. Sample size: The number of elements or observation to be included in the sample.
e. Census: Complete enumeration or observation of the elements of the population. Or
it is the collection of data from every element in a population
f. Parameter: Characteristic or measure obtained from a population.
g. Statistic: Characteristic or measure obtained from a sample.
h. Variable: It is an item of interest that can take on many different numerical values.
Types of Variables or Data:
1. Qualitative Variables are nonnumeric variables and can't be measured. Examples
include gender, religious affiliation, and state of birth.
2. Quantitative Variables are numerical variables and can be measured. Examples
include balance in checking account, number of children in family. Note that quantitative
variables are either discrete (which can assume only certain values, and there are usually
"gaps" between the values, such as the number of bedrooms in your house) or continuous
(which can assume any value within a specific range, such as the air pressure in a tire.)

By: Hussen A.
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1.4 Applications, Uses and Limitations of statistics
Applications of statistics:
 In almost all fields of human endeavor.
 Almost all human beings in their daily life are subjected
to obtaining numerical facts e.g. abut price.
 Applicable in some process e.g. invention of certain
drugs, extent of environmental pollution.
 In industries especially in quality control area.
Uses of statistics:
The main function of statistics is to enlarge our knowledge of
complex phenomena. The following are some uses of
statistics:
1. It presents facts in a definite and precise form.
2. Data reduction.
3. Measuring the magnitude of variations in data.
4. Furnishes a technique of comparison
5. Estimating unknown population characteristics.
6. Testing and formulating of hypothesis.
7. Studying the relationship between two or more
variable.
8. Forecasting future events.
Limitations of statistics
As a science statistics has its own limitations. The following
are some of the limitations:
 Deals with only quantitative information.
 Deals with only aggregate of facts and not with
individual data items.
 Statistical data are only approximately and not
mathematical correct.
 Statistics can be easily misused and therefore should
be used by experts.

By: Hussen A.
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By: Hussen A.
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