Basic Concepts of

Inferential Statistics

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 WHAT IS INFERENTIAL STATISTICS?
 Inferential statistics is a technique used to draw
conclusions about a population by testing the data
taken from the sample of that population.
 It is the process of how generalization from sample to
population can be made. It is assumed that the
characteristics of a sample is similar to the
population’s characteristics.
 It includes testing hypothesis and deriving estimates.

 It focuses on making statements about the

population.

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 THE PROCESS OF INFERENTIAL ANALYSIS

• It comprises of all the data collected from the sample.

• Depending on the sample size, this data can be large or
Raw small
Data set of measurements.

• It summarizes the raw data gathered from the sample

of population
Sample • These are the descriptive statistics (e.g. measures of
Statistic central tendency)
s

• These statistics then generate conclusions about

Inferentia the
l population based on the sample statistics.
Statistics

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 SAMPLING METHODS

 Random sampling is the best type of sampling

method to use with inferential statistics. It is also
referred to as probability sampling.
 In this method, each participant has an equal
probability of being selected in the sample.
 In case the population is small enough then everyone
can be used as a participant.
 Another sampling technique is Snowball sampling
which is a non-probability sampling.
 Snowball sampling involves selecting participants on
the basis of information provided by previously
studied cases. This technique is not applied for
inferential statistics.
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 IMPORTANT DEFINITIONS

 Probability is the mathematical possibility that a

certain event will take place. They can range from 0
to 1.00
 Parameters describe the characteristics of a sample of
population. (Variables such as age, gender, income,
etc.).
 Statistics describe the characteristics of a sample on
the same types of variables.
 Sampling Distribution is used to make inferences
based on the assumption of random sampling.

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 SAMPLING ERROR CONCEPTS
 Sampling Error: Inferential statistics takes
sampling error (random error) into account. It is
the degree to which a sample differs on a key
variable from the population.
 Confidence Level:
The number of times out of 100 that the true
value will
fall within the confidence interval.
 Confidence Interval:
A calculated range for the true value, based on
the relative sizes of the sample and the
population.
 Sampling error describes the difference
between
sample statistics and population parameters.
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 SAMPLING DISTRIBUTION CONCEPTS

The variables of
a sample taken
Due to sampling
from the
error, the
population
sample mean
should be the
can be varied.
same for the
population also.

The amount of
Standard error
this variation in
decreases as
the sample
the sample size
mean is
increases.
referred to as
standard error.

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 TYPES OF HYPOTHESES

 Alternative hypothesis: It specifies expected

relationship between two or more variables. It may be
symbolized by H1 or Ha.
 Null hypothesis: It is the statement that says there is
no real relationship between the variables described in
the alternative hypothesis.
 In inferential statistics, the hypothesis that is actually
tested is the null hypothesis. Therefore, it is essential
to prove that the null hypothesis is not valid and
alternative hypothesis is true and should be accepted.

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 HYPOTHESIS TESTING PROCESS

Choose a level
State the State the of statistical
research null significance
hypothesis hypothesis

Make a decision
Select and
regarding whether
compute the
to accept or reject
test statistic
the null
hypothesis.

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