Lecture # 1

Introduction and scope of

Statistics
By Sofia Aslam
Department of Statistics
 History of Statistics

Statistics is derived from: Latin word “ Status” means Political State.

In the past, the statistics was used by rulers. The application of statistics was very
limited but rulers and kings needed information about lands, agriculture,
commerce, population of their states to assess their military potential, their wealth,
taxation and other aspects of government.
Examples

In the following examples, the facts and figures usually called

Statistics presented in the media almost every day are given:
 The Bureau of census projects the population of Pakistan to be
170.1 million in the year 2010.
 Eight out of ten Pakistanis do not have skills.
 The prevalence of diabetes is nearly 3 times as high in over
weight people as compared to normal weight people.
 Statistics

o Mathematics is a language of Science and statistics is the interpretation of

Science.
o Statistics may be defined as a science of collection, representation, analysis and
interpretation of numerical data under uncertainty conditions.
Definition:

 Statistics is a branch of mathematics, dealing with data collection,

organization, analysis, interpretation and presentation.
 Statistical analysis – used to manipulate summarize, and
investigate data, so that useful decision-making information
results.
Example: Hence Statistics is a subject which is much more than just
numbers. it tells us what is done to or with numbers. For instance

 Suppose we want to determine the best teacher at GCWUF. How should we

decide this?
 This could be done by asking GCWUF students who the best teacher is.
 To do so we collect the data, analyze the results and make decision.
Definition of statistics
 What is Statistics?
Statistics is the art and science of extracting information from data

Statistics
Data Information
Data: Raw
facts and Information:
figures, Communicated
especially concerning
numerical some particular
facts, collected facts.
together for
information.

Data Information Knowledge Wisdom

Scope of Statistics:

 Statistics in planning: Plans drawn on basis of information

available through statistics.
 Statistics in Business and management: Decision related to
marketing, production, Finance, investments and control are
made on basis of data provided.
 Statistics in industry: Statistical charts and inspection helps in
quality control.
 Statistics in economics: It helps in understating and solving
economic problems.
 It is also helps in Bio. Physics, chemistry, Metrology, Sociology,
information technology etc.
Purposes of Statistics

 To describe and summarize information thereby reducing it to

smaller, more meaningful sets of data.
 To make predictions or to generalize about occurrences based on
observations.
 To identify associations, relationships or differences between the
sets of observations.
 The Purpose of Statistics: Statistics teaches people to use a
limited sample to make intelligent and accurate conclusions about
a greater population. The use of tables, graphs, and charts play a
vital role in presenting the data being used to draw these
conclusions.
 Statistical knowledge helps you use the proper methods to collect the data, employ
the correct analyses, and effectively present the results. ... Statistics is a crucial
process behind how we make discoveries in science, make decisions based on data,
and make predictions. a graph of a normal (Gaussian) distribution, with a large
rounded peak tapering away at each end.
Why Statistics used?
Why study statistics?

1. Data are everywhere

2. Statistical techniques are used to make many decisions that affect our lives
3. No matter what your career, you will make professional decisions that
involve data. An understanding of statistical methods will help you make
these decisions efectively

Statistics is a collection of methods for planning

experiments, obtaining data, and then processing,
summarizing, presenting, analyzing, interpreting,
and drawing scientific conclusions based on the
data under uncertain conditions.
Types of Statistics
 Branches of Statistics

Statistics

Descriptive Inferential

 
  Involves in Organization, Using sample information
Summarization, and Display of such as , S, r, p to draw
Data into Tables, Graphs and Inference about Unknown
Summary Numbers such as Population Parameters.
, S, r, p
Definitions of Descriptive and
inferential Statistics
 Descriptive Statistics
Descriptive statistics is that branch of statistics, which deals with
collection, presentation and analysis of numerical data is called
descriptive statistics.
 Inferential Statistics
Inferential statistics is that branch of statistics, which deals with
procedures of drawing inference (conclusions) about population
parameter on the basis of sample data, is called inferential
statistics.
 Examples of Descriptive and Inferential

 A cricket player wants to  A cricket player wants to estimate his

find his score average for the chance of scoring based on his current
last 20 games. season average.
 Amir wants to describe the  Based on the first four test scores, Amir
variation in his four test would like to predict the variation in
score in statistics. his final Statistics test scores.
 Ayesha wants to determine  Based on last 6 months grocery bills,
the average weekly amount Ayesha would like to predict the
she spent on groceries in the average amount she will spent on
past 6 months. groceries for the upcoming year.
Applied Statistics

 Applied statistics is that branch of statistics in which we find

everyday problem’s solution in the areas of physical and social
sciences by using statistical methods.
 Applied statistics is also considered as a branch of statistics.
Population Vs Sample
 Population vs Sample

Statistical
Inference

Population Sample
 
(have (have
Parameters) Statistic)
Parameters: µ,
Statistic: , S, r
σ, ρ
Population: A Population Sample: A
is a group of all representative
object/elements/observation part/subset of the
under investigation. population.
Examples of Population vs
Sample

Population Sample
 Students’ Law College at the
University of Jordan
 All student who are enrolled  Countries with published data
in any college level. available on birth rates and GDP
since 2000.
 All countries of the world  300 undergraduate students from
three Dutch universities who
 Undergraduate students in
volunteer for your psychology
the Netherlands. research study.
 Songs from the Eurovision  Winning songs from the Eurovision
Song Contest Song Contest that were performed
in English
Parameter VS Statistic
Parameter & statistic

 Parameter
A numerical quantity, which is calculated from population, is
called parameter. Parameter is constant. It is denoted by Greek
letter.
e.g. population mean ‘μ’, population standard deviation ‘σ’,
population variance ‘σ2’ etc.
 Statistic
A numerical quantity, which is calculated from sample, is called
statistic. Statistic is variable. It is denoted by Latin letter.
e.g. sample mean ‘’, sample standard deviation ‘S’, sample
variance ‘S2’ etc.
Constant & Variable

 Constant
Any value, which does not change, but remains fixed, is called constant.
e.g. e = 2.718281, π = 3.1415 etc.
The constants are usually represented by first letters of alphabets of the
English language as a, b, c etc.
 Variable
A characteristic that varies from individual to individual, place to place
or time to time is called a variable. It is denoted by letters ‘X’, ‘Y’ and
‘Z’ etc.
e.g. Age of a person, height of a person, eye colour of a person,
temperature of a place etc.
Types of variables
 Types of Variable

Variable

Qualitative Quantitative

Discrete Continuous
Characteristic
which varies in
quality (not
Height
numerically) e.g., No. of students
Eye color, Weight
No. of chairs
Education level, Time
No. of deaths
Behavior Distance
 Qualitative Variable
 A variable, which can assume non- numerical values is called qualitative
variable. It is also called categorical variable or attribute.

e.g. hair colour, eye colour, gender, marital status, satisfaction etc.
Quantitative Variable

 A variable, which can assume numerical values is called

quantitative variable.
e.g. age, income, weight, number of students in a class etc.

There are two types of quantitative variable

 Discrete variable
 Continuous variable
Discrete Variable

 A quantitative variable that can take only a discrete set of integers

or whole numbers. A discrete variable represents count data.
e.g. shoe size, collar size, number of petals in a flower, number of
rooms in a house etc.
Continuous Variable

 A quantitative variable that can take any value with in a given

range is called continuous variable.
e.g. temperature, age etc.
Any Queries?