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1.2 Uses
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To present the data in a concise and definite
form : Statistics helps in classifying and tabulating raw data
for processing and further tabulation for end users.
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To make it easy to understand complex and
large data : This is done by presenting the data in the form
of tables, graphs, diagrams etc., or by condensing the data
with the help of means, dispersion etc.
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For comparison : Tables, measures of means
and dispersion can help in comparing different sets of data..
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In forming policies : It helps in forming
policies like a production schedule, based on the relevant sales
figures. It is used in forecasting future demands.
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Enlarging individual experiences : Complex
problems can be well understood by statistics, as the conclusions
drawn by an individual are more definite and precise than mere
statements on facts.
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In measuring the magnitude of a phenomenon:-
Statistics has made it possible to count the population of a
country, the industrial growth, the agricultural growth, the
educational level (of course in numbers).
Limitations
- Statistics does not deal with individual measurements. Since statistics deals with aggregates of facts, it can not be used to study the changes that have taken place in individual cases. For example, the wages earned by a single industry worker at any time, taken by itself is not a statistical datum. But the wages of workers of that industry can be used statistically. Similarly the marks obtained by John of your class or the height of Beena (also of your class) are not the subject matter of statistical study. But the average marks or the average height of your class has statistical relevance.
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Statistics cannot be used to study qualitative phenomenon like morality, intelligence, beauty etc. as these can not be quantified. However, it may be possible to analyze such problems statistically by expressing them numerically. For example we may study the intelligence of boys on the basis of the marks obtained by them in an examination.
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Statistical results are true only on an average:- The conclusions obtained statistically are not universal truths. They are true only under certain conditions. This is because statistics as a science is less exact as compared to the natural science.
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Statistical data, being approximations, are mathematically incorrect. Therefore, they can be used only if mathematical accuracy is not needed.
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Statistics, being dependent on figures, can be manipulated and therefore can be used only when the authenticity of the figures has been proved beyond doubt..
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Index
1.1 What is Statistics
1.2 Uses
1.3 Distrust of Statistics
1.4 Statistics can be misused
1.5 Types of Statistics
1.6 Common mistakes committed in interpretation of Statistics
1.7 Glossary Of Terms
Chapter 2
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