Sampling-Why Sampling

Sampling help us in making decision for a large population

Selecting a sample is less time consuming than selecting each
item in the population
Selecting a sample is less costly than selecting each item in
the population
An analysis of a sample is less cumbersome and more practical
than analysis of the entire population
A Sampling Process Begins with a Sampling Frame

The sampling frame is a listing of items that makes up the

population.
Frames are data source such as population lists, Directories or
maps.
In-accurate or biased results can result if sample frame
excludes some excludes certain portion of the population.
Using different frames to generate data, can lead to dissimilar
conclusions.
Classification of Sampling Techniques

1. Non-Pobability/Non-Probabilistic Sampling Techniques

• Convenient Sampling
• Judgemental Sampling
• Quota Sampling
• Snowball Sampling
2. Probability/Probabilistic Sampling
• Simple Random Sampling
• Systematic Sampling
• Stratified Sampling
• Cluster Sampling
• Other Sampling Techniques
Non-probability Sample

In a non-probability sample, items included are chosen without

regard to their probability of occurrence.
In Convenience Sampling, items are selected on the based only
on the fact that, they are easy, inexpensive or convenient to
choose/sample.
In Judgemental Sample, only considers the opinions of
preselected experts of the subject matter.
Quota Sampling selects the relative fractions of each
characteristics of the population.
Snowball Sampling, selects sample items one after other with
the reference of the previous items.
Probability Sampling
Simple Random Sampling
Every individual or item from the frame has equal chance of
being selected.
Selection may be with or without replacement.
Samples obtained from the table of random numbers or
computer random number generators.
Systematic Sample
Decide on sample size n
Divide frame of N individuals into k groups of n individuals,
k=N/n
Randomly select one individual from the first group
Select every kth individual thereafter

Stratified Sample
Divide population into two or more subgroups(called strata)
according to some common characteristics
A simple random sample is selected from each subgroup, with
sample size proportional to strata size
Samples from subgroups are combined into one
This is common technique, when sampling population of
voters, stratifying across socio-economic lines
Cluster Sample
Population is divided into several clusters each representation
of the population
A simple random sample of clusters is selected
All items in the selected clusters can be used or items can be
chosen from a cluster using another probability techniques
A common application of cluster sampling involves election
exit polls, where certain districts/zones are selected and
sampled.
Comparing Sampling Methods
SRS and Systematic Sample
• Simple to use
• May not be a good representation of population’s underlying
characteristics
Stratified Sample
• Ensures representation of population across the entire population
Cluster Sample
• More cost effective
• Less efficient (need larger sample to acquire the same level of precision)
Sampling Distributions
A sampling distribution is a distribution of all of the possible
values of a sample statistic for a given size sample selected
from a population.
For example, suppose you sample 50 students from your
college regarding their mean GPA. If we formed may different
samples of 50, we will compute a different mean GPA for each
sample. We are interested in distribution of all possible mean
GPAs, we might calculate for any given sample of 50 students.
Developing Sampling Distribution

All possible samples with sample size 2

Developing Sampling Distribution

Summary measure of this sampling distribution:

µX̄ =(18
p + 19 + 19 + ... + 21)/16 = 21
σX̄ = ((18 − 21)2 + (19 − 21)2 + ... + (24 − 21)2 )/16 = 1.58.
Comparing Population distribution with the samples mean
distribution
Sample means distribution: Standard Error of the mean

Different samples of the same size from the same population

ill yield different sample means
A measure of variability in the mean from sample to sample is
given by the Standard Error of the Mean
The sampling is with replacement or without replacement
from an infinite population
The Standard Error of the Mean is given by
√
σX̄ = σ/ n
The Standard Error of the Mean decreases as the sample size
increases
In case of finite population without replacement, The
Standard Error of the Mean is given by
q
σX̄ = √σn N−n
N−1
Sample means sampling distribution: If the population is
normal

Z-value of Sampling Distribution of the Mean:

Sampling distribution properties
Property 1:

Property 2:
Sample Mean Sampling distribution: If population is not
normal
We can apply the Central Limit Theorem:
• Even if population is not normal
• Sample means from the population will be approximately normal as long
as the sample size is large enough

Properties of the Sampling Distribution is:

√
µ = µX̄ and σX̄ = σ/ n
Central Limit Theorem: As the sample size gets large enough,
the sampling distribution becomes almost normal, regardless of
Shape of Population
Sample Mean Sampling distribution: If population is not
normal
Example- Suppose the mean expenditure per customer at a tire
store is $85 with a standard deviation of $9.
If a random sample of 40 customers is taken, what is the
probability that the sample average expenditure per customer is
$87 or more?
Example- Suppose the mean expenditure per customer at a tire
store is $85 with a standard deviation of $9.
If a random sample of 40 customers is taken, what is the
probability that the sample average expenditure per customer is
$87 or more?
z = x̄−µ x̄ x̄−µ 87−85
σx̄ = σ/ n = 9/ 40 = 1.41
√ √

Therefore p(z ≥ 1.41) = 1 − p(z < 1.41)

Example- Suppose the mean expenditure per customer at a tire
store is $85 with a standard deviation of $9.
If a random sample of 40 customers is taken, what is the
probability that the sample average expenditure per customer is
$87 or more?
z = x̄−µ x̄ x̄−µ 87−85
σx̄ = σ/ n = 9/ 40 = 1.41
√ √

Therefore p(z ≥ 1.41) = 1 − p(z < 1.41)

Suppose a population has mean µ = 8 and standard deviation
σ = 3. Let a random sample of size 36 is selected. What is the
probability that the sample mean is between 7.8 to 8.2?
Suppose a population has mean µ = 8 and standard deviation
σ = 3. Let a random sample of size 36 is selected. What is the
probability that the sample mean is between 7.8 to 8.2?
Miss Joanne Happ, chief executive officer of Southwestern Life &
Surety Corp., wants to undertake a survey of the huge number of
insurance policies that her company has underwritten. Miss Happ’s
firm makes a yearly profit on each policy that is distributed with
mean $310 and standard deviation $150. Her personal accuracy
requirements dictate that the survey must be large enough to
reduce the standard error to no more than 1.5 percent of the
population mean. How large should her sample be?
Suppose a population has mean µ = 8 and standard deviation
σ = 3. Let a random sample of size 36 is selected. What is the
probability that the sample mean is between 7.8 to 8.2?
Miss Joanne Happ, chief executive officer of Southwestern Life &
Surety Corp., wants to undertake a survey of the huge number of
insurance policies that her company has underwritten. Miss Happ’s
firm makes a yearly profit on each policy that is distributed with
mean $310 and standard deviation $150. Her personal accuracy
requirements dictate that the survey must be large enough to
reduce the standard error to no more than 1.5 percent of the
population mean. How large should her sample be?
In a normal distribution with mean 375 and standard deviation 48,
how large a sample must be taken so that the probability will be at
least 0.95 that the sample mean falls between 370 and 380?
Suppose a population has mean µ = 8 and standard deviation
σ = 3. Let a random sample of size 36 is selected. What is the
probability that the sample mean is between 7.8 to 8.2?
Miss Joanne Happ, chief executive officer of Southwestern Life &
Surety Corp., wants to undertake a survey of the huge number of
insurance policies that her company has underwritten. Miss Happ’s
firm makes a yearly profit on each policy that is distributed with
mean $310 and standard deviation $150. Her personal accuracy
requirements dictate that the survey must be large enough to
reduce the standard error to no more than 1.5 percent of the
population mean. How large should her sample be?
In a normal distribution with mean 375 and standard deviation 48,
how large a sample must be taken so that the probability will be at
least 0.95 that the sample mean falls between 370 and 380?
By reviewing sales, a restaurant owner found that the average bill
for a couple was $26, and the standard deviation was $5.65. How
large would a sample of customers have to be for the probability to
be at least 95.44 percent that the mean cost per meal for the
sample would fall between $25 and $27.
Population Proportion
Denoted by π, is the proportion of population having same
characteristics
The sample proportion (p) gives an estimation of population
proportion π.
p = x/n = Number of items in thesample
sample having the characteristics
size
µ = 8, σ = 3, p(7.8 ≤ x̄ ≤ 8.2) σx̄ = 3/6 = .5 At,
x̄ = 7.8, z = (7.8 − 8)/.5 = −.2/.5 = −.4 At x̄ = 8.2, z = 0.4
p(7.8 ≤ x̄ ≤ 8.2) = p(−0.4 ≤ z ≤ 0.4) = p(z = 0.4) − p(z =
−0.4) = 0.6554 − 0.3446 = 0.3108
√
µx̄ = 310, σx̄ ≤ 310 × 1.5/100 = 4.65 σx̄ ≥ 150/ n
√
i.e, 4.65 ≥ 150/ n
√
n ≥ 150/4.65 = 32.26
n ≥ 1040.7
n ≥ 1041.
µ = 375, σ = 48, p(370 ≤ x̄ ≤ 380) = 0.95, n = .....
p(370 ≤ x̄ ≤ 380) = 0.95
p( 370−µ
σx̄
x̄
≤ x̄−µ
σx̄ ≤
x̄ 380−µx̄
σx̄ ) = 0.95
370−375 380−375
p( 48/√n ≤ z ≤ 48/√n ) = 0.95
But from normal table, p(−1.96 ≤ z ≤ 1.96) = 0.95
√
This implies, 1.96 = 5 n/48
√
This implies, n = (1.96 × 48)/5 = 18.846
n = 355.18
n ≥ 356.