ELEMENTARY STATISTICS

Chapter 1
INTRODUCTION

• Statistics as a field of knowledge proved so much in the

world is very powerful tool in almost all fields of work.
• It can be in a simple event that needs analysis.
• The New Encyclopedia Britannica define statistics as an
art and science of gathering, analyzing and making
inferences from data.
• Statistics has been very useful in recording facts about
people , objectives, and events in making predictions and
decisions based from the available data.
• Statistics place a great role as tool in gathering opinions
from a survey.
1.1 Origin and Development of Statistics
• The History of statistics can be traced back at least to the biblical
times in Ancient Egypt, and Babylon and Rome.
• As early 3500 years before the birth of Christ, statistics had been
used in Egypt in the form of recording the number of sheep or
cattled owned, the amount of grain produced and the number of
people living in a particular city.
• In 3800 B.C, Babylonian government used statistics to measure
the number of men under a kings rule and the vast territory that
he occupied.
• In 700 B.C Roman empires used statistics by conducting
registration to record population for the purpose of collecting
taxes.
Great men who made important contributions to
statistics
• Karl Friedrich Gauss(1777-1855), the brilliant German
mathematician who used statistical methods in making
predictions about the positions of the planets in our solar
system.
• Adolphe Quetelet (1796-1874) a Belgian astronomer
developed the idea of the “average man” from his studies
of the Belgian census.
• Karl Pearson (1857-1936) an English mathematician
made important links between probability and statistics. In
the 20th century, the British statistician Sir Ronald Alymer
Fisher developed the F-tool in inferential Statistics
1.2 Definition

• Statistics is an art and science that

deals with the collection, organization,
creative, presentation, analysis and
interpretation quantitative of data.
1.3 Uses of Statistics

• Statistics helps people answer questions and make

decisions about many things.
• In Psychology, statistics is used to determine attitudinal
patterns, the causes and effects of misbehavior.
• In business and economics, statistics is used to analyze a
wide range of data like sales, outputs, price and indices,
revenues, costs, inventories, accounts and the like.
• In the field of medicine, statistics is used to collect
information about patients and diseases and to make
decisions about the used of new drugs or treatment.
1.4 Fields of Statistics

• Descriptive Statistics- is concerned with the

methods of collecting, organizing and presenting
data appropriately and creatively to describe or
assess group characteristics.
• Inferential Statistics-is concerned with inferring or
drawing conclusions about the populations based
from preselected elements of that population.
1.5 Constants and Variables

• Constants - refer to the fundamental quantities that do not

change in value.
• Variables - are quantities that may take anyone of a
specified set of values.
• Qualitative Variables - Non measurable characteristics that
cannot assume a numerical value but can be classified
into two or more categories.
• Quantitative Variables- are those quantities that can be
counted with your barehands, can be measured with the
used of some measuring devices or can be calculated with
the used of a mathematical formula.
1.6 Data and Information
• Data - usually refers to facts concerning things
such as status in life of people, defectiveness
of objects or effect of an event to the society.
• Information - is a set of data that have been
processed and presented in a form suitable
for human interpretation, usually with a
purpose of revealing trends or patterns about
the population.
1.6.1 Sources of Data
• TWO SOURCES OF DATA

• Primary source from which a first hand information is

obtained usually by means of personal interview and actual
observation.

• The Secondary source of information is taken from others

works, news reports, readings , and those that are kept by
the National Statistics Office, Securities and Exchange
Commission , S.S.S., and Other government and private
agencies.
1.6.2 Scales of Measuring Data
• Questionnaire – a list of questions which is intended to elicit
answers from respondents.

Scales of Measurement are the following:

1.Nominal Scale - classifies objects or people’s responses so that
all those in a single category are equal with respect to some
attributes and then each category is coded numerically.
Respondents can be grouped according to marital status based on
the four nominal scales, single -1, married-2, separated -3, or
widow -4
• 2.Ordinal Scales - classifies objects or individual’s responses
according to degree or level , then each level is coded
numerically. Customers ‘ responses regarding their
satisfaction towards company’s services can fall between an
ordinal scale, Excellent -1, Very Satisfactory -2, Satisfactory -
3, Fair -4, or Poor/Needs Improvement -5.

• 3.Interval Scale - refers to quantitative measurements in which

lower and upper control limits are adapted to classify relative
order and differences of item numbers or actual scores.
Households socioeconomic status are classified based from
what income level and age bracket they belong.
• Ratio Scale - takes into account the interval size and
ratio of two related quantities, which are usually based on
a standard measurement . Weight, time, height , rate of
change in production , return on investments , and
economic order quantity are measured with the use of a
ratio scale.
1.6.3 Methods of Collecting Data: Its Advantages
and Disadvantages
• Direct or Interview Method – is a person to person
interaction between an interviewer and an interviewee. Tape
recorded or written interviews will help the researcher
obtain exact information from the interviewee.
• Indirect or Questionnaire Method – is an alternative
method for the interview method. Written responses are
obtained by distributing questionnaires ( a list of questions
intended to elicit answers to a given problem, must be given
in a logical order and not too personal ) to the respondents
through mail or hand carry.
• Registration Method – is enforced by private organizations
or government agencies for recording purposes.

• Observation Method – is a scientific method of

investigation that makes possible use of all senses to
measure or obtain outcomes / responses from the object of
study.

• Experimentation – is used when the objective is to

determine the cause and effect of a certain phenomenon
under some controlled conditions.
1.7 Population and Sample

•In statistical usage, the word population is a finite or infinite

collection of objects, events, or individuals with specified
class or characteristics under consideration, such as
students in a certain university, legitimate taxi drivers in
metro manila, cellular phone users etc.

• A sample therefore, is a finite or limited collection of

objects, events, or individuals selected from a population
• The symbols are used to denote some statistical tools to
avoid confusion on their usage. The Greek letters ų ( read
as miu ) , (sigma), (sigma squared), and p (rho) are used for
parameters, that is any numerical value describing a
characteristic of a population. While any of those Arabic
letters x, s, s², and r is used to denote statistic, that is any
numerical value describing a characteristic of a sample.
1.8 Census and Sampling Techniques

• In some cases, complete enumeration or the so-called

census taking is a vital tool if the information gathered
would be used for administrative purposes and if it is of
local or National concern.

• Date from complete enumeration or census or used as

bench marks or reference points for current statistics and
are used a sampling frame for most current sample
surveys.
• A sample is a portion or sub-
aggregate of the population that should
represent the common qualities or
characteristics of the population.
1.8.1 Random and Non- Random Sampling

• Random Sampling – The most commonly used sampling

technique in which each number in the population is given
an equal chance of being selected in the sample.

• Non- Random Sampling – A method of collecting a small

portion of the population by which not all the members in
the population are given the chance to be included in the
sample.
1.8.2 Properties of Random Sampling

• Equiprobability – means that each member of the

population has an equal chance of being selected and
included in the sample.

• Independence – means that the chance of one member

being drawn does not affect the chance of the other
member.
1.8.3 Two Kinds of Random Sampling

• Restricted Random Sampling – involves certain

restrictions intended to improve the validity of the sampling.
This design is applicable only when the population being
investigated requires homogeneity.

• Unrestricted Random Sampling – is considered the best

random sampling design because there were no restrictions
imposed and every member in the population has an equal
chance of being included in the sample.