D E PA R T M E N T O F F I N A N C E
BUREAU OF LOCAL GOVERNMENT FINANCE
Introduction to Statistics and
Data Management
www.blgf.gov.ph
Learning Objectives
At the end of this session, the participants should be able
to:
• Know and understand the difference between data and
Statistics;
• Know the basic statistical concepts and
• Understand the usage and application of Statistics.
What is data?
Raw information or numeric files that can be manipulated,
analyzed and interpreted to understand circumstances or
phenomena. [University of Queensland Australia]
Characters, numbers, or symbols collected together for
computation, statistical analysis or reference; unrefined
information. [Open Forum Foundation]
DATA
What is Statistics?
In singular sense
Statistics is a branch of science that deals with the
collection, presentation, analysis and interpretation of
a set of numerical figures.
presentation,
collection organization
interpretation analysis and
of data.
What is Statistics?
In plural sense
Statistics is a set of numerical figures that has already
been processed and analyzed. It provides
interpretation and summary of the data, making it
easy to understand.
STATISTICS
PARTICULARS 2012 2013 2014 2015 2016
Locally-Sourced Revenue (LSR) 104.09 107.98 122.97 140.71 148.10
Annual Regular Income (ARI) 332.06 357.38 403.51 460.09 505.70
IRA (PCM) 219.02 240.13 273.38 313.11 341.26
Surplus 53.59 57.55 88.99 129.54 134.61
Total Revenues 376.79 402.45 448.95 533.24 574.85
Total Expenditures 330.08 349.89 368.13 407.13 441.79
LSR Growth Rate 15% 4% 14% 14% 5%
LSR Dependence 31% 30% 30% 31% 29%
LSR to GDP 0.99% 0.94% 0.97% 1.06% 1.02%
IRA Dependence 66% 67% 68% 68% 67%
IRA to GDP 2.6% 2.7% 2.8% 3.0% 3.0%
Surplus to GDP 0.5% 0.5% 0.7% 1.0% 0.9%
Local source of LGU income
share in total current operating
income 36% 35% 35% 34% 33%
Data vs Statistics
• DATA is the raw information from which statistics are
created.
• STATISTICS provide an interpretation and summary of
data.
[Michigan State University]
Basic Statistics Concept
www.blgf.gov.ph
Population vs. Sample
• POPULATION: a collection of all the
individuals or items under
population
consideration in a statistical study.
[Weiss, 1999]
• SAMPLE: a part of the population
from which information is
collected. [Weiss, 1999]
sample
Parameter vs. Statistic
• PARAMETER: a numerical characteristic of the
population
• STATISTIC: a numerical characteristic of the
sample
VARIABLE
A characteristic or attribute of persons or
objects that can assume different values
for different persons or objects.
Examples:
Marital status, monthly income, sectoral expenses,
height, weight
Observation vs Data
•An observation is a realized value of a
variable.
•Data is the collection of observations.
Classification of Data
QUALITATIVE (Categorical) QUANTITATIVE (Numerical)
• Have labels or names • Any attribute that we
assigned to their respective measure in numbers and
categories can be ranked
• Examples: • Examples:
• Marital Status – Single, Married • Weight – 160 lbs, 40 kg, 77 mg
• Sex of household – male, • Height - 34 in., 5 cm., 5ft.
female • Annual Revenue – P1,530 M,
P0.340M,
MEASUREMENT
• The process of determining the value or label, either
QUANTITATIVE or QUALITATIVE, of a particular
variable.
• Measuring the value of a variable in a given sample
yields the data.
LEVELS OF MEASUREMENT
Nominal Level Ordinal Level
Interval Level Ratio Level
1 – Nominal Level
Numbers or symbols are used simply to classify an object,
person, or characteristics into categories
Categories must be distinct, mutually exclusive and mutually
exhaustive
Numbers, labels or symbols are used for classification only
Examples:
Sex: Male or Female
Residence: Region 1, Region 2, … , Region 17
2 – Ordinal Level
Contains the properties of the nominal level but the
numbers assigned to categories of any variable may
be ranked or ordered in some low – to –high manner.
Accounts for order but distance is meaningless.
Examples:
Income Classification: 1st class, 2nd class, 3rd class
Educational Attainment: Elementary, High School, College
LGU FSS Score: Average, Good, Very Good, Excellent
3 – Interval Level
Contains the properties of the ordinal level but the distances
between any two numbers on the scale are of known sizes
Has order, and distances between values can be determined
but there is no absolute zero point
Examples:
- Temperature
- Intelligence quotient (75, 100, 120, ..)
- Time in military hours
4 – Ratio Level
Contains the properties of the interval level but it has a true
zero (0) point. i.e., the 0 point indicates the absence of the
characteristic under consideration
Strongest level of measurement
Example:
- Per capita income
- Annual Revenue
- Expenditures
Exercise: Identify of the data is quantitative or qualitative. Indicate the
level of measurement.
1. Average BCLTE Exam Score
2. Financial Performance Typology (Type 1, 2, 3 or 4)
3. Fiscal Sustainability Scorecard Weighted Score (total actual score)
4. Fiscal Sustainability Scorecard Grade (A,B,C,D,E,F)
5. Temperature in degrees Celsius
6. Telephone number
7. Stages of cancer
8. Birth year
Areas of Statistics
DESCRIPTIVE STATISTICS INFERENTIAL STATISTICS
• Consist of methods for organizing • Consist of methods for drawing and
and summarizing information. measuring the reliability of
conclusions about population based
on information obtained from a
sample of the population.
• Results are only applicable to the • This is used to form conclusion about
group from which information is the population
acquired
General Uses of Statistics
Design: Planning and carrying out research studies
Description: Summarizing and exploring data
Inference: Making predictions and generalizing about
phenomena or event represented by the data.
General Uses of Statistics
• Aids in decision making
- provides comparison
- explains action that have taken place
- justifies a claim or assertion
- predicts future outcome
- estimates unknown quantities
Applications of Statistics
• A financial analyst may use regression and correlation
analysis to help in understanding the relationship of GRDP
and inflation rate to the LGUs financial performance.
• BLGF may use statistical models to forecast local government
revenue for the next six years.
• An LGU may want to study the effects of election period on
the revenue and expenditures of the LGU.
References:
• Introduction to Statistics, Philippine Statistical Research and Training
Institute
• Basics of Statistics, Jarkko Isotalo, University of Tampere, Finland
• University of Queensland Australia
• Open Forum Foundation
Thank you!
www.blgf.gov.ph
