statistics is an art

8/11/2019 Statistics is an Art

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"STATISTICS IS AN ART"

INTRODUCTION:

The word statistics owes its origin to the German word statistik,used to describe numerical information on economic, social,political, cultural, or other characteristics of a nation state.Statistics is the collection of data and its representation orinterpretation.

IMPORTANCE OF STATISTICS IN OUR DAILY LIFE:

In today's world we are faced with situations everyday wherestatistics can be applied. Statistics can be used to determine the

potential outcome of thousands of things where the human mindalone wouldn't be able to. Statistics benets all of us because weare able to predict the future based on data we have previouslygathered. eing able to predict the future not only changes ourlifestyle but also helps us be more e!cient and e"ective.

#ith statistics we can determine how we will live a year from now,ten years from now, and so on. It helps us make educateddecisions based on what we already know because of statistics.

Statistics a"ects our daily life every day. $esearchers use

statistics to advertise their products which in turn we theconsumer purchase. The price of the products we buy aredetermined upon statistics which show the demand for theproduct at that point in time and because of these statistics, wethe consumers pay a certain amount of money to buy theproduct.

%nother e&ample of how statistics a"ect me is in school. veryyear statistics are looked over and the curriculums for the classesI take are based on data collected in the past. The curriculums aremodied and help the learning process.

#ith these statistics we are able to modify things to make themmore e"ective. This is why statistics is important in the rst place


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( we can improve our lifestyle with statistics. If we know howpeople have lived in the past and how we have evolved, we canprepare for the future and live longer and evolve more e"ectively.


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PRACTICAL APPLICATIONS:

Statistical techni)ues are used to make decisions that a"ect ourdaily lives. That is, they a"ect our personal welfare. *ere are a

few e&amples.

+ ne of the simple applications of statistics is to estimate thenumber of sh in a pond, using random sampling and suitablestatistical -hyper geometric distribution.

+ Insurance companies use statistical analysis to set rates forhome, automobile, life, and health insurance. Tables are availablethat summari/e the probability of an auto accident by a 01(year(

old female and a 01(year(old male. The di"erences in theprobabilities are revealed in the di"erences in their insurancepremiums.

+ 2edical researchers study the cure rates for diseases, based onthe use of di"erent drugs and di"erent forms of treatment. 3ore&ample, what is the e"ect of treating a certain type of kneein4ury surgically or with physical therapy5 If you take an %spirineach day, does that reduce your risk of a heart attack5

+ It plays a critical role in agriculture in deciding the plant varieties,combination of fertili/er, pesticides, densities, soil )ualities, andgrowth of output.

+ India6s statistics e&ploration started with anthropologicale&periment. #ithout the use of statistics, business and economicscannot make proper planning and policy.

+ Stock 2arket7 %nother topic that you hear a lot about in the news

is the stock market. Stock analysts also use statistical computermodels to forecast what is happening in the economy.

+ 8erformance measurement in education, including I9, is astatistical construct. :se of statistics in psychological behavior isknown as psychometry. &amination of climate change and


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environmental studies are e"ectively statistical data analysis ofweather and environment.

+ :sing this family could balance their e&penses with their average

income.

+ 9uality Testing7 ;ompanies make thousands of products everyday and each company must make sure that a good )uality itemis sold. ut a company can't test each and every item that theyship to you, the consumer. So the company uses statistics to test

4ust a few, called a sample, of what they make. If the samplepasses )uality tests, then the company assumes that all the itemsmade in the group, called a batch, and are good.

+ It is used in factories for the authorities to recogni/e whether thebenets of the workers are continued or not.

+ 2ean, one of the comparing properties of statistics also helpsteachers to see the average marks of the students.

+ Statistics is also gives data to keep track of progress, ideal for

8ublic pinioneed%nalysis for any product , even nancial products, 8roduct?esigning @ 8ricing, 8roduct ;ustomi/ation - segment specicproducts, 9uality ;ontrol - process as well as product )ualitycontrol, 2arket $esearch, Seasonality

statistics is an art

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