INTRODUCTION
TO THE
STATISTICAL
CONCEPTS
LEARNING • Define statistics
• Explain the process of statistics
OBJECTIVES • Know the difference between
descriptive and inferential
statistics.
• Distinguish between qualitative
and quantitative variables.
• Distinguish between discrete and
continuous variables.
• Determine the level of
measurement of a variable
Is the science of collecting,
STATISTICS organizing, summarizing, and
analyzing information to draw
conclusions or answer
questions.
Is about providing a measure of
confidence in any conclusions.
It enables people to make
decisions based on empirical
evidence.
Provides tools needed to convert
massive data into pertinent
information that can be used in
decision making.
DATA
- are “factual information used as
a basis for reasoning, discussion,
or calculation”.
- Consists of information coming from
observations, counts, measurements or
responses
- can be numerical, as in height, or
nonnumerical, as in gender. In either
case, data describe characteristics of an
individual.
FIELD OF STATISTICS
A. Mathematical Statistics- The study and
development of statistical theory and methods
in the abstract.
B. Applied Statistics- The application of
statistical methods to solve real problems
involving randomly generated data and the
development of new statistical methodology
motivated by real problems. Example branches
of Applied Statistics: psychometric,
econometrics, and biostatistics.
LIMITATION OF STATISTICS
• Statistics is not suitable to the
study of qualitative phenomenon.
• Statistics does not study
individuals.
• Statistical laws are not exact.
• Statistics table may be misused.
• Statistics is only, one of the
methods of studying a problem.
BRANCHES OF STATISTICS
• Descriptive statistics - It involves organization, analysis,
summarization and display of data.
• Inferential statistics -It is the branch statistics that involves using
a sample to draw conclusions about a population.
• Probability theory -It is the branch of statistics which deals with
chance or random phenomena i.e. it tries to quantify how likely
events are to occur.
KEY TERMINOLOGIES
• UNIVERSE - set of all entities • SAMPLE - sample is a
under study. subset of a population
• POPULATION - is the total or • STATISTIC- Description or
entire group of individuals or numerical summary of a
observations from which sample.
information is desired by
researcher. • PARAMETER- Description or
• INDIVIDUAL - person or numerical summary of a
Population.
object that is a member of
the population being studied
Identify the population and the
sample.
1. In a recent survey, 1708 adults in the US
were asked if they think global warming is
a problem that requires immediate
government action. 939 of the adults said
yes.
2. The US Department of Energy conducts
weekly surveys of approximately 800
EXAMPLE gasoline stations to determine the average
price per gallon of regular gasoline. On
Feb. 12, 2007, the average price was $2.24
per gallon.
DISTINGUISH BETWEEN A PARAMETER
AND STATISTIC
1. A recent survey of a sample of MBAs reported
that the average salary for an MBA is more than
$82,000.
2. Starting salaries for the 667 MBA graduates from
the University of Chicago Graduate School of
Business increased 8.5% from the previous year.
3. In a random check of a sample of retail stores,
the Food and Drug Administration found that
EXAMPLE 34% of the stores were not storing fish at the
proper temperature.
4. In 2006, major league baseball teams spent a
total of $2,326,706,685 on players’ salaries.
QUALITATIVE AND QUALITATIVE VARIABLE
QUANTITATIVE variable that yields categorical
responses. It is a word or a code that
VARIABLES represents a class or category.
QUANTITATIVE VARIABLE
takes on numerical values
representing an amount or quantity.
EXAMPLES
Hair Color QUALITATIVE
Temperature QUANTITATIVE
Number of QUANTITATIVE
Burger Sold
QUANTITATIVE VARIABLES MAY BE FURTHER CLASSIFIED INTO:
DISCRETE CONTINUOUS
Limited Infinite
Finite Measured Data
Countable Lots of Possible Values
EXAMPLE
• The number of heads obtained after flipping a coin five times. Discrete
• The number of cars that arrive at a McDonald’s drive-through
between 12:00 P.M and 1:00 P.M. Continuous
• The distance of a 2005 Toyota Prius can travel in city
conditions with a full tank of gas. Continuous
• Number of words correctly spelled. Discrete
• Time of a runner to finish one lap. Continuous
LEVELS OF MEASUREMENTS
1. NOMINAL DATA– Labels or
names that can be divided into
two or more categories. Example
(Yes/No, Marital Status, Brand of
cars, location of School, Names)
2. ORDINAL DATA– They can be
ranked or ordered but differences
between measurements are not
meaningful. Example (sizes of
shirts, Sizes of bed, tournament
rank, Likert scale)
LEVELS OF MEASUREMENTS
3. INTERVAL DATA– is a numerical scale
which labels and orders variables, with a
known, evenly spaced interval between
each of the values.
- ZERO does NOT mean nothing
Ex: Time, Temperature in degrees
Fahrenheit or Celsius (but not in Kelvin), IQ
test)
LEVELS OF MEASUREMENTS
4. RATIO– exactly the same as
the interval scale, with one key
difference: The ratio scale has
what’s known as a “true zero.”
Ex: weight in kilograms,
Distance, money/price)
