Statistics MV013
PPT-1/Lecture-1
Q.1 What kind of data type and its level of measurement?
(Describe 4 levels of measurement of statistics?)
Q.2 What are the different types of statistical methods?
Q.3 Examples of poor use of statistics?
Levels of measurement
1. Categorical
Nominal -> Frequencies and proportion
Ordinal -> Frequencies and proportion -> Mean and medium but not
suggested
Nominal (sex, region, type of faults, …)
there is no ordering of the values; they are just qualitative names
➢ Ordinal (education, opinion, …)
the same as above, but with an order
2. Numerical
Interval and Ratio -> Mean, median and standard deviation
Interval (temperature with the Celsius scale, year, …)
values serve for comparisons, but do not correspond to any absolute value
➢ Ratio (mass, length, duration, …)
if the scale and the position of zero are fixed
Statistical Methods
1. Descriptive statistics
It does not make predictions or generalizations beyond the given
data.
Descriptive statistics summarize and present data in a meaningful way
using measures like mean, median, mode, standard deviation, and
visualizations (charts, graphs). It does not make predictions or
generalizations beyond the given data.
✅ Example:
Suppose you collect the exam scores of 100 students and find:
The average (mean) score is 75.
The highest score is 98.
The distribution of scores is shown in a bar chart.
👉 This describes the data but does not infer anything about all students
beyond this sample.
2. Inferential Statistics
Inferential statistics use a sample to make predictions or draw conclusions about a larger
population using probability, hypothesis testing, and confidence intervals.
✅ Example:
You survey 1000 people about their coffee preferences and find that 65% prefer espresso.
Using inferential statistics, you estimate that around 65% of the entire city's population
(millions of people) likely prefers espresso, within a margin of error.
👉 This helps infer trends beyond the data you directly collected.
Descriptive statistics summarize and organize data (e.g., "The
average test score of 100 students is 75").
Inferential statistics use a sample to make predictions about a
larger population (e.g., "Based on 100 students, the average score for
all students is likely around 75 ± 3").
Examples of poor use of statistics
Confusing Correlation with Causation – Just because two
things happen together (ice cream sales & drowning) doesn’t
mean one causes the other. A third factor (hot weather) influence
both.
Sampling Bias – If your sample doesn’t represent the whole
population (like surveying only wealthy people in the 1936
election poll), your conclusions will be flawed.
Misinterpreting P-Values – A p-value of 0.04 doesn’t mean a
result is important, just that it’s unlikely to be random. It doesn’t
prove a real-world effect.
Ignoring Effect Size – A drug might show a statistically
significant effect but be practically useless if the improvement is
tiny.
Misleading Self-Reported Data – In online dating, men often
exaggerate their height. This leads to unreliable data and
incorrect conclusions.