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What Is Statistics
Chapter 1
Semester A201
20 Oct. 2020
Week 1
McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
Introduction
 PM Dr. Nursilah binti Ahmad
 With USIM >15 years
 Master & PhD in Economics from IIUM
 Taught Economics, Bus. Stat. & Research Method
 Perak, 2 children, Stay in Nilai
 Office: FEM, Level 2, No. A12 (near Lift), 06-7986312
 Email: nursilah@usim.edu.my
 Queries: Through Class-Rep
Textbook
 Textbook: Berenson et al, 13th Ed.
 Available at USIM’s Library – eBook
 Tutorial Questions based on
end-of-chapter Questions
 Buy/Borrow from your Seniors
Continuous Assessment (100%)
 2 Tests @30% each
 - Week 7 & Week 12
 - Online GOALS, Structured + MCQs
 1 Individual Assignment @ 20% each
 1 page Inforgraphics [5%] + 1 page write-Up [5%]
+ Presentation [10%]. Due Week 5
 Group Assignment @ 5 per group @ 20%  15
pages write-up (3 pages per student) – Statistical
analysis [15%] + Presentation [5%]. Due Week
14. Present Week 13-14.
Format Assignment/ Sample From
Last Semester
 https://qalampensil.blogspot.com/
 https://padlet.com/nursila/sukupedia
 https://padlet.com/nursila/qalampensil
Individual Assignment
 Theme: “The Economics
of COVID-19”
 Naqli & Aqli Elements
 1 page write-up
 Present During Tutorial
Resources for Data
 Dept. of Statistics Malaysia (DOS)
 Bank Negara Malaysia website
 OECD database
 WEO Outlook
 SESRIC Database
 Internet Google
Form Group
 5 people per group
 Select topic (must be different for each
group)
 Data: Secondary Data
 Areas:
 Economic performance & COVID-19
 Macroeconomic Indicators & COVID-19
 Budget 2021 (tabled 10 Nov. 2020)
 Sukuk Industry
 COVID-19
LEARNING OBJECTIVES
LO 1-1 List ways that statistics is used.
LO 1-2 descriptive vs inferential statistics.
LO 1-3 sample vs a population.
LO 1-4 qualitative vs quantitative variables.
LO 1-5 Compare discrete and continuous variables.
LO 1-6 Recognize the levels of measurement in data.
1-9
Uses of Statistics
 One of the tools used to make decisions in business.
 We apply statistical concepts in our lives.
 As a student of business or economics, basic
knowledge and skills to organize, analyze, and
transform data and to present the information.
LO1-1 List ways statistics is used.
1-10
Summary of Types of Variables
LO 1-5 and LO 1-6
1-11
Summary of the Characteristics for Levels of
Measurement
LO6
LO 1-6
1-12
Why Study Statistics?
Statistics is required for many college programs. Why?
1. Numerical information is everywhere.
2. Statistical techniques are used to make decisions that affect
our daily lives.
3. Knowledge of statistical methods will help you understand
how decisions are made and give you a better
understanding of how they affect you.
No matter what line of work you select, you will find yourself
faced with decisions where an understanding of data
analysis is helpful.
LO1-1
1-13
Understanding of Statistics Helps us
Make Informed Decisions
In making informed decisions, you need to:
1. Determine if the existing information is adequate or
additional information is required.
2. Gather additional information, if needed, in such a way that it
does not provide misleading results.
3. Summarize the information in a useful and informative
manner.
4. Analyze the available information.
5. Draw conclusions and make inferences while assessing the risk
of an incorrect conclusion.
LO1
LO1-1
1-14
STATISTICS The science of collecting, organizing, presenting,
analyzing, and interpreting data to assist in making more effective
decisions.
What Is Meant by Statistics?
LO1
Collect
Present
Interpret
Organize
LO1-1
1-15
Who Uses Statistics?
Statistical techniques are
used extensively by
marketers, accountants,
quality control personnel,
consumers, professional
sports people, hospital
administrators, educators,
politicians, physicians, etc...
LO1
LO1-1
1-16
Types of Statistics – Descriptive Statistics
and Inferential Statistics
Descriptive Statistics - methods of organizing,
summarizing, and presenting data in an informative way.
EXAMPLE 1: The United States government reports the population of the US was
179,323,000 in 1960; 203,302,000 in 1970; 226,542,000 in 1980; 248,709,000
in 1990; 265,000,000 in 2000; and 308,400,000 in 2010.
EXAMPLE 2: There are a total of 46,837 miles of interstate highways in the United
States. The interstate system represents only 1% of the nation’s total roads
but carries more than 20% of the traffic.
EXAMPLE 3: The average person spent $103.00 on traditional Valentine’s Day
merchandise in 2010. This is an increase of $0.50 from 2009.
LO 1-2 Know the
differences between
descriptive and inferential
statistics.
1-17
Types of Statistics – Descriptive
Statistics and Inferential Statistics
Inferential Statistics: A decision, estimate, prediction,
or generalization about a population, based on a
sample.
Note: In statistics, the word population and sample have a broader
meaning. A population or sample may consist of individuals or
objects.
LO 1-2
1-18
Population vs. Sample
A population is the entire set of individuals or objects of interest, or
the measurements obtained from all individuals or objects of
interest.
A sample is a portion, or part, of the population of interest.
LO 1-3 Understand the differences
between a sample and a population.
1-19
Why Take a Sample Instead of Studying Every
Member of the Population?
1. Prohibitive cost of census
2. Not possible to test or inspect all members
of a population being studied – time
constraint
3. Census = Population
LO 1-3
1-20
Usefulness of a Sample in Learning about a
Population
Using a sample to learn something about a
population is done extensively in business,
agriculture, politics, and government.
EXAMPLE: Television networks constantly monitor the
popularity of their programs by hiring Nielsen and
other organizations to sample the preferences of TV
viewers.
LO3
LO 1-3
1-21
Types of Variables
A. Qualitative or attribute variable - the
characteristic being studied is nonnumeric.
EXAMPLES: gender, religious affiliation, type of automobile owned,
state of birth, and eye color are examples.
B. Quantitative variable - information is reported
numerically.
EXAMPLES: balance in your checking account, minutes remaining in
class, or number of children in a family.
LO 1- 4 Explain the difference between
qualitative and quantitative variables.
1-22
Quantitative Variables - Classifications
Quantitative variables can be classified as either discrete or
continuous.
A. Discrete variables can only assume certain values, and
there are usually “gaps” between values.
EXAMPLE: the number of bedrooms in a house, or the number of
hammers sold at the local Home Depot (1,2,3,…,etc).
B. Continuous variable can assume any value within a
specified range.
EXAMPLE: the pressure in a tire, the weight of a pork chop, or the
height of students in a class.
LO 1-5 Compare discrete and continuous
variables.
1-23
Summary of Types of Variables
LO 1-5 and LO 1-6
1-24
Four Levels of
Measurement
Nominal level – data that is
classified into categories and
cannot be arranged in any
particular order.
Ordinal level – data arranged in
some order, but the
differences between data
values cannot be determined
or are meaningless.
Interval level – similar to the
ordinal level, with the
additional property that
meaningful amounts of
differences between data
values can be determined.
There is no natural zero point.
Ratio level – the interval level with
an inherent zero starting point.
Differences and ratios are
meaningful for this level of
measurement.
LO 1-6 Recognize the levels of
measurement in data.
1-25
Nominal-Level Data
Properties:
1. Observations of a qualitative variable can
only be classified and counted.
2. There is no particular order to the labels.
LO 1-6
1-26
Ordinal-Level Data
Properties:
1. Data classifications are
represented by sets of
labels or names (high,
medium, low) that have
relative values.
2. Because of the relative
values, the data classified
can be ranked or ordered.
LO6
LO 1-6
1-27
Interval-Level Data
Properties:
1. Data classifications are ordered according to the amount of the
characteristic they possess.
2. Equal differences in the characteristic are represented by equal
differences in the measurements.
Example: Women’s dress sizes
listed on the table.
LO6
LO 1-6
1-28
Ratio-Level Data
 Practically all quantitative data is recorded on the ratio level
of measurement.
 Ratio level is the “highest” level of measurement.
Properties:
1. Data classifications are ordered according to the amount of the
characteristics they possess.
2. Equal differences in the characteristic are represented by equal
differences in the numbers assigned to the classifications.
3. The zero point is the absence of the characteristic, and the ratio between
two numbers is meaningful.
LO6
LO 1-6
1-29
Why Know the Level of Measurement of a Data?
 The level of measurement of the data
dictates the calculations that can be done to
summarize and present the data.
 To determine the statistical tests that should
be performed on the data.
LO6
LO 1-6
1-30
Summary of the Characteristics for Levels of
Measurement
LO6
LO 1-6
1-31
Ethics and Statistics
 Report what you find. Be honest.
 “Do the right thing” when collecting,
organizing, summarizing, analyzing, and
interpreting numerical information.
 The real contribution of statistics to society is
a moral one.
1-32
Computer Applications
 Spreadsheets (Microsoft Excel)
 Statistical software (Minitab, SPSS, etc.)
1-33
Tutorial - Group
 Upload in GOALS by next week’s class
 Ch 1:
 In-Depth Excel, p. 61
 Cases: CardioGood Fitness
 Q 1.44, p. 57
Summary of Types of Variables
LO 1-5 and LO 1-6
1-35
Summary of the Characteristics for Levels of
Measurement
LO6
LO 1-6
1-36
The End
 Thanks

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Chap1 BStat SemA201 Intro.ppt

  • 1. What Is Statistics Chapter 1 Semester A201 20 Oct. 2020 Week 1 McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
  • 2. Introduction  PM Dr. Nursilah binti Ahmad  With USIM >15 years  Master & PhD in Economics from IIUM  Taught Economics, Bus. Stat. & Research Method  Perak, 2 children, Stay in Nilai  Office: FEM, Level 2, No. A12 (near Lift), 06-7986312  Email: nursilah@usim.edu.my  Queries: Through Class-Rep
  • 3. Textbook  Textbook: Berenson et al, 13th Ed.  Available at USIM’s Library – eBook  Tutorial Questions based on end-of-chapter Questions  Buy/Borrow from your Seniors
  • 4. Continuous Assessment (100%)  2 Tests @30% each  - Week 7 & Week 12  - Online GOALS, Structured + MCQs  1 Individual Assignment @ 20% each  1 page Inforgraphics [5%] + 1 page write-Up [5%] + Presentation [10%]. Due Week 5  Group Assignment @ 5 per group @ 20%  15 pages write-up (3 pages per student) – Statistical analysis [15%] + Presentation [5%]. Due Week 14. Present Week 13-14.
  • 5. Format Assignment/ Sample From Last Semester  https://qalampensil.blogspot.com/  https://padlet.com/nursila/sukupedia  https://padlet.com/nursila/qalampensil
  • 6. Individual Assignment  Theme: “The Economics of COVID-19”  Naqli & Aqli Elements  1 page write-up  Present During Tutorial
  • 7. Resources for Data  Dept. of Statistics Malaysia (DOS)  Bank Negara Malaysia website  OECD database  WEO Outlook  SESRIC Database  Internet Google
  • 8. Form Group  5 people per group  Select topic (must be different for each group)  Data: Secondary Data  Areas:  Economic performance & COVID-19  Macroeconomic Indicators & COVID-19  Budget 2021 (tabled 10 Nov. 2020)  Sukuk Industry  COVID-19
  • 9. LEARNING OBJECTIVES LO 1-1 List ways that statistics is used. LO 1-2 descriptive vs inferential statistics. LO 1-3 sample vs a population. LO 1-4 qualitative vs quantitative variables. LO 1-5 Compare discrete and continuous variables. LO 1-6 Recognize the levels of measurement in data. 1-9
  • 10. Uses of Statistics  One of the tools used to make decisions in business.  We apply statistical concepts in our lives.  As a student of business or economics, basic knowledge and skills to organize, analyze, and transform data and to present the information. LO1-1 List ways statistics is used. 1-10
  • 11. Summary of Types of Variables LO 1-5 and LO 1-6 1-11
  • 12. Summary of the Characteristics for Levels of Measurement LO6 LO 1-6 1-12
  • 13. Why Study Statistics? Statistics is required for many college programs. Why? 1. Numerical information is everywhere. 2. Statistical techniques are used to make decisions that affect our daily lives. 3. Knowledge of statistical methods will help you understand how decisions are made and give you a better understanding of how they affect you. No matter what line of work you select, you will find yourself faced with decisions where an understanding of data analysis is helpful. LO1-1 1-13
  • 14. Understanding of Statistics Helps us Make Informed Decisions In making informed decisions, you need to: 1. Determine if the existing information is adequate or additional information is required. 2. Gather additional information, if needed, in such a way that it does not provide misleading results. 3. Summarize the information in a useful and informative manner. 4. Analyze the available information. 5. Draw conclusions and make inferences while assessing the risk of an incorrect conclusion. LO1 LO1-1 1-14
  • 15. STATISTICS The science of collecting, organizing, presenting, analyzing, and interpreting data to assist in making more effective decisions. What Is Meant by Statistics? LO1 Collect Present Interpret Organize LO1-1 1-15
  • 16. Who Uses Statistics? Statistical techniques are used extensively by marketers, accountants, quality control personnel, consumers, professional sports people, hospital administrators, educators, politicians, physicians, etc... LO1 LO1-1 1-16
  • 17. Types of Statistics – Descriptive Statistics and Inferential Statistics Descriptive Statistics - methods of organizing, summarizing, and presenting data in an informative way. EXAMPLE 1: The United States government reports the population of the US was 179,323,000 in 1960; 203,302,000 in 1970; 226,542,000 in 1980; 248,709,000 in 1990; 265,000,000 in 2000; and 308,400,000 in 2010. EXAMPLE 2: There are a total of 46,837 miles of interstate highways in the United States. The interstate system represents only 1% of the nation’s total roads but carries more than 20% of the traffic. EXAMPLE 3: The average person spent $103.00 on traditional Valentine’s Day merchandise in 2010. This is an increase of $0.50 from 2009. LO 1-2 Know the differences between descriptive and inferential statistics. 1-17
  • 18. Types of Statistics – Descriptive Statistics and Inferential Statistics Inferential Statistics: A decision, estimate, prediction, or generalization about a population, based on a sample. Note: In statistics, the word population and sample have a broader meaning. A population or sample may consist of individuals or objects. LO 1-2 1-18
  • 19. Population vs. Sample A population is the entire set of individuals or objects of interest, or the measurements obtained from all individuals or objects of interest. A sample is a portion, or part, of the population of interest. LO 1-3 Understand the differences between a sample and a population. 1-19
  • 20. Why Take a Sample Instead of Studying Every Member of the Population? 1. Prohibitive cost of census 2. Not possible to test or inspect all members of a population being studied – time constraint 3. Census = Population LO 1-3 1-20
  • 21. Usefulness of a Sample in Learning about a Population Using a sample to learn something about a population is done extensively in business, agriculture, politics, and government. EXAMPLE: Television networks constantly monitor the popularity of their programs by hiring Nielsen and other organizations to sample the preferences of TV viewers. LO3 LO 1-3 1-21
  • 22. Types of Variables A. Qualitative or attribute variable - the characteristic being studied is nonnumeric. EXAMPLES: gender, religious affiliation, type of automobile owned, state of birth, and eye color are examples. B. Quantitative variable - information is reported numerically. EXAMPLES: balance in your checking account, minutes remaining in class, or number of children in a family. LO 1- 4 Explain the difference between qualitative and quantitative variables. 1-22
  • 23. Quantitative Variables - Classifications Quantitative variables can be classified as either discrete or continuous. A. Discrete variables can only assume certain values, and there are usually “gaps” between values. EXAMPLE: the number of bedrooms in a house, or the number of hammers sold at the local Home Depot (1,2,3,…,etc). B. Continuous variable can assume any value within a specified range. EXAMPLE: the pressure in a tire, the weight of a pork chop, or the height of students in a class. LO 1-5 Compare discrete and continuous variables. 1-23
  • 24. Summary of Types of Variables LO 1-5 and LO 1-6 1-24
  • 25. Four Levels of Measurement Nominal level – data that is classified into categories and cannot be arranged in any particular order. Ordinal level – data arranged in some order, but the differences between data values cannot be determined or are meaningless. Interval level – similar to the ordinal level, with the additional property that meaningful amounts of differences between data values can be determined. There is no natural zero point. Ratio level – the interval level with an inherent zero starting point. Differences and ratios are meaningful for this level of measurement. LO 1-6 Recognize the levels of measurement in data. 1-25
  • 26. Nominal-Level Data Properties: 1. Observations of a qualitative variable can only be classified and counted. 2. There is no particular order to the labels. LO 1-6 1-26
  • 27. Ordinal-Level Data Properties: 1. Data classifications are represented by sets of labels or names (high, medium, low) that have relative values. 2. Because of the relative values, the data classified can be ranked or ordered. LO6 LO 1-6 1-27
  • 28. Interval-Level Data Properties: 1. Data classifications are ordered according to the amount of the characteristic they possess. 2. Equal differences in the characteristic are represented by equal differences in the measurements. Example: Women’s dress sizes listed on the table. LO6 LO 1-6 1-28
  • 29. Ratio-Level Data  Practically all quantitative data is recorded on the ratio level of measurement.  Ratio level is the “highest” level of measurement. Properties: 1. Data classifications are ordered according to the amount of the characteristics they possess. 2. Equal differences in the characteristic are represented by equal differences in the numbers assigned to the classifications. 3. The zero point is the absence of the characteristic, and the ratio between two numbers is meaningful. LO6 LO 1-6 1-29
  • 30. Why Know the Level of Measurement of a Data?  The level of measurement of the data dictates the calculations that can be done to summarize and present the data.  To determine the statistical tests that should be performed on the data. LO6 LO 1-6 1-30
  • 31. Summary of the Characteristics for Levels of Measurement LO6 LO 1-6 1-31
  • 32. Ethics and Statistics  Report what you find. Be honest.  “Do the right thing” when collecting, organizing, summarizing, analyzing, and interpreting numerical information.  The real contribution of statistics to society is a moral one. 1-32
  • 33. Computer Applications  Spreadsheets (Microsoft Excel)  Statistical software (Minitab, SPSS, etc.) 1-33
  • 34. Tutorial - Group  Upload in GOALS by next week’s class  Ch 1:  In-Depth Excel, p. 61  Cases: CardioGood Fitness  Q 1.44, p. 57
  • 35. Summary of Types of Variables LO 1-5 and LO 1-6 1-35
  • 36. Summary of the Characteristics for Levels of Measurement LO6 LO 1-6 1-36