Chapter 4

Sampling and
Sampling
Distributions
University of Economics
Ho Chi Minh City

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Outline
• Normal Distribution
• Sampling
• Sampling Distribution of Sample Mean

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Normal Distribution
• Characteristics of a Normal Distribution:
It is a continuous distribution.
It is a symmetrical distribution about its mean.
It is asymptotic to the horizontal axis.
It is unimodal.
It is a family of curves.
Area under the curve is 1.
Example:
• Many human characteristics, such as height, weight, length, speed, IQ, scholastic
achievement, and years of life expectancy is normal distribution
• Living things in nature, such as trees, animals, insects, and others, have many characteristics
that are normally distributed.
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Normal Distribution
• Every unique pair of 𝜇 and 𝜎 values defines a different normal distribution.

𝜇 = 50 𝑎𝑛𝑑 𝜎 = 5
𝜇 = 80 𝑎𝑛𝑑 𝜎 = 5
𝜇 = 50 𝑎𝑛𝑑 𝜎 = 10

=> every change in a parameter (𝜇 or 𝜎)

determine is a different normal distribution.
Convert normal distribution into
standardized normal distribution (Z distribution)

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 Normal Distribution
• Standardized Normal Distribution:
A z score is the number of
𝑥−𝜇 standard deviations that a value,
𝑧= 𝜎≠0
𝜎 x, is above or below the mean.

• The z distribution is a normal distribution with a

mean of 0 and a standard deviation of 1.
Example: In a recent year, the mean GMAT score
was 494 and the standard deviation was about
100.What is the probability that a randomly
selected score from this administration of the
GMAT is between 600 and the mean?
𝑥 − 𝜇 600 − 494
𝑧= = = 1.06
𝜎 100 Dang Van Thac 10/15
 Sampling
• Reasons for sampling:
-The sample can save money.
-The sample can save time.
-For given resources, the sample can broaden the scope of the study.
-Because the research process is sometimes destructive, the sample can save product.
-If accessing the population is impossible, the sample is the only option.
• Reasons for taking a census:
-To eliminate the possibility that by chance a randomly selected sample may not be
representative of the population
-For the safety of the consumer.
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Sampling
• Frame: is a list of target population that consists of the individuals,
institutions, or entities that are the object of investigation.
Example: school lists, trade association lists, company lists
• In theory, the target population and the frame are the same. In
reality, the frame and the target population are often different
• Frames that have overregistration contain the target population units
plus some additional units.
• Frames that have underregistration contain fewer units than does the
target population.

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 Sampling Random Versus Nonrandom Sampling

• Random sampling (probability sampling): every unit of the population has the
same probability of being selected into the sample.
-Simple random sampling
-Stratified random sampling
-Systematic random sampling
-Cluster random sampling
• Nonrandom sampling (nonprobability sampling): not every unit of the population
has the same probability of being selected into the sample.
-Convenience sampling
-Judgement sampling
-Quota sampling
-Snowball sampling Dang Van Thac 5/15
Sampling
Random Sampling
• Simple Random Sampling:
6747 9814 9975 3189 9295 5687
Step 1: each unit of the frame is numbered from 1 to N (where
2144 6320 2987 5280 1855 2354
N is the size of the population) 505 792 1786 2101 820 4412
Step 2: a table of random numbers is used to select n items into 7742 7501 5980 3025 3929 7321
the sample. 9600 9996 6500 4480 3248 4430
3615 1836 10 140 4508 4903
4630 1616 6807 5450 2350 5275
7304 4901 2056 8887 2547 9428
2653 5551 6682 7617 273 9182
4837 9757 2100 7243 6247 1013

Advantage: easier to perform on

small populations.
Disadvantage: electing items is
cumbersome for large populations.
Sample: General Electric, Lubrizol...
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Sampling
Random Sampling
• Stratified Random Sampling:
Step 1: population is divided into nonoverlapping subpopulations called strata.
Step 2: extracts a random sample from each of the subpopulations.
Proportionate stratified random sampling:
when the percentage of the sample taken from each
stratum is proportionate to the percentage that
each stratum is within the whole population.
Disproportionate stratified random sampling:
Whenever the proportions of the strata in the
sample are different from the proportions of the
strata in the population
Advantage: reducing sampling error.
Disadvantage: more costly than simple random
sampling
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Sampling Random Sampling

• Systematic Random Sampling:

Step 1: each unit of the frame is numbered from 1 to N
(where N is the size of the population)
Step 2: calculate: 𝑘 = 𝑁/𝑛 n=sample size, N=population
size, k=size of interval for selection
Step 3: select every kth item into the sample

Example: sampling from a company list of 2,000 retailers in

China.
Step 1: assign a number to each retailer. (0001=Jindong,
0002=Taobao, 0003=Lotus...)
Advantage: convenient and easy
Step 2: suppose we sample 450 retailers from the list => Disadvantage: systematic sampling problem
k=N/n=2,000/450=4.45
Step 3: select every 4th value into the sample
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Sampling Random Sampling

• Cluster (Area) Sampling:

Step 1: dividing the population into nonoverlapping
areas, or clusters (geographic regions)
Step 2: randomly selecting clusters from the
population, either selecting all elements of the
chosen clusters or randomly selecting individual
elements into the sample from the clusters.
Advantage: convenience and cost
Disadvantage: If the elements of a cluster are similar,
cluster sampling may be statistically less efficient than
simple random sampling.
Problems of statistical analysis are greater with
cluster sampling than with simple random sampling.
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 Sampling
Nonrandom Sampling
• Convenience Sampling: elements for the sample are selected for the convenience of
the researcher.
• Judgment Sampling: elements selected for the sample are chosen by the judgment
of the researcher.
• Quota Sampling: population is divided into nonoverlapping subpopulations.
However, instead of randomly sampling from each stratum, the researcher uses a
nonrandom sampling method to gather data from one stratum until the desired
quota of samples is filled.
• Snowball Sampling: survey subjects are selected based on referral from other survey
respondents.
• Sampling Error: occurs when the sample is not representative of the population.
• Nonsampling Error: All errors other than sampling errors.
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 Sampling Distribution of Sample Mean
• Central Limit Theorem: If samples of size n are drawn randomly from a population
that has a mean of μ and a standard deviation of σ, the sample means, 𝑥, are
approximately normally distributed for sufficiently large sample sizes (n≥30)
regardless of the shape of the population distribution. If the population is normally
distributed, the sample means are normally distributed for any size sample.
𝜇𝑥 = 𝜇 𝑎𝑛𝑑 𝜎𝑥 = 𝜎/ 𝑛

Sample 1 (n≥30)=>calculate 𝑥1

Sample 2 (n≥30)=>calculate 𝑥2

𝑥1 𝜇𝑥 = 𝜇 𝑥𝑛 𝑥2
Sample n (n≥30)=>calculate 𝑥𝑛
𝜎𝑥 = 𝜎/ 𝑛

𝑃𝑜𝑝𝑢𝑙𝑎𝑡𝑖𝑜𝑛 𝜇, 𝜎
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