# What is statistics

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### What is statistics

• 2. THE word statistics came into existence towards the middle of the eighteenth century.It is derived from the Latin word ‘status’ or the Italian word ‘statista’ or the German word ‘statistik’ ; each of which means a ‘’Political State’.
• 3. STATISTICS CAN BE DIVIDED INTO 2 PARTS: SINGULAR PLURAL
• 4. In the singular sense it refers to techniques or methods relating to collection,present ation,analysis and interpetation of quantative data.
• 5. DEFINITION…IN THE SINGULAR SENSE…  “Statistics may be defined as the collection, presentation, analysis and interpretation of numerical data.” -Croxton and Cowden  “Statistics is the science which deals with the collection, classification and tabulation of numerical facts as a basis for the explanation, description and comparison of phenomena.” - -Lovitt  “Statistics is the science which deals with the methods of collecting, classifying, presenting, comparing and interpreting numerical data collected to throw some
• 6. IN the plural sense it refers to information in terms of numbers or numerical data, such as population statistics, employment statistics, statistics concerning public expenditure.
• 7. DEFINITION…in the plural sense…  “Statistics are numerical statements of facts in any department of enquiry placed in relation to each other.” -Bowley  “By statistics we mean quantitative data affected to a marked extent by multiplicity of causes.” -Yule and Kendall
• 8. FUNCTIONS OF STATISTICS!!! DEFINITENESS CONDENSATION COMPARISION PREDICTION POLICY FORMULATION TESTING HYPOTHESIS
• 9.  DEFINITENESS : Statistics presents facts in a precise and definite form thus help proper comprehension of what is stated. For example, number of unemployment per 1000 employment has increased.  CONDENSATION : It condenses mass of data into a few significant data. For example, the per capita income of India easy to find than the individual income.  COMPARISION : Unless figures are compared with others of the same kind they are often devoid of any meaning. For example, If we say that the production of Maruti Udyog Ltd. has increased from 200 cars a day to 2500 cars a day.
• 10.  TESTING HYPOTHESIS : Statistical methods are extremely useful in formulating and testing hypothesis and to develop new theories. For example, whether students have benefited from the extra coaching or not.  PREDICTION : Statistical methods provide helpful means of forecasting future events. For example, if a businessman has to decide how much he should produce in 2010, then he would be analysing the sales data of the previous year to predict the maximum production of the year.  FORMULATING POLICIES : Statistics provide the basic material for framing suitable policies. For example, the decision regarding the import of oil depends upon the total consumption and the internal production.
• 12. COMPUTER…  As statistical theories become more complex, it becomes increasingly difficult to perform the calculations needed to apply these theories…  As statisticians devise new ways of describing and using data of decisions, computer respond with newer & more efficient ways of performing these operations.  Conversely, with the evolution of more powerful techniques, people in statistics are encouraged to explore new and more sophisticated methods of statistical analysis.
• 14.  Study of numerical facts only: It studies only quantitative phenomena and not qualitative phenomena like honesty, friendship, wisdom etc.  Study of aggregates only: For example, if the income of Ram is Rs 2000 per month ,it has no relevance in statistics. But if the income of Ram is Rs 2000 p.m.,that of Sohan is Rs 3000 p.m. and that of Shyam is Rs 4000 p.m. in the aggregate of Rs 9000 and average of Rs 3000,it makes sense in terms of relative income of all the three persons.  Homogeneity of Data, an Essential Requirement: For example, production of foodgrains cannot be compared with the production of cloth. It is because cloth is measured in metres and foodgrains in tonnes .
• 15.  Results are true only on an average: For instance, if it is said that per capita income in India is Rs 18000 p.a., it does not mean that the income of each and every Indian is Rs 18000 p.a.  Without reference, results may prove to be wrong: For example, in the business of cloth profits earned during three years may be Rs 1000,Rs 2000,Rs 3000 and in business of paper profits are Rs 3000,Rs 2000,Rs 1000 respectively. Thus the average profit is Rs 2000 p.a. conclusively it may states that the economic status of both the business is same which may not be true.  Can be used only by the experts: It can only be used by those persons who have special knowledge of statistical methods otherwise they cannot make sensible use of statistics.  Prone to misuse: It is usually said, “Statistics are like clay by which you can make a devil, as you please”.
• 17. STATISTICS AND STATE STATISTICS AND BUSINESS STATISTICS AND ECONOMICS STATISTICS AND PHYSICAL SCIENCE STATISTICS AND NATURAL SCIENCE SATTISTICS AND RESEARCH STATISTICS AND OTHER USES
• 18. QUESTIONS??? STATISTICS
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