Elementary Statistics

Course Code: 20SCS 204

Introduction
• Statistics generally refers to information about an activity or process
whether it be production, population, national income etc that
expressed in numbers.
• The study of statistics involves methods of refining numerical (non-
numerical: Qualitative) information into useful forms.
• Whenever the numbers are collected and compile, regardless of what
they represent, they become statistics.
• In other words, the term statistics is considered synonymous with ways
and means of presenting and handling data, making inference logically
and drawing relevant conclusions.
• The word ‘statistics’ comes from the Italian word ‘statistica’ (meaning
Statesman) or the German word ‘Statistik’ which means a political state.
The science of statistics is said to originated from two main sources:
• Governments Records, and
• Mathematics
• Government Records
• This is the earliest foundation because all cultures with a recorded history
had recorded statistics, and the recording, as far as is known was done by
agents of the government for governmental purposes.
• In ancient Egypt, the police prepared registration lists for all heads of
families.
• In ancient Judea, a census of population was taken on several occasions,
including one in 2030 B.C. when the population was estimated at 3,800,000.
• The first Roman census was taken in 435 B.C. . Statistics were recorded in
Roman times also about military strength, taxable capacity of the people,
births and deaths etc.
• Since Statistical data were collected for governmental purposes, statistics
was then described as ‘the science of kings’ or ‘the science of statecraft’.
• Beginning with the sixteenth century, a large number of statistical handbooks
were published.
Mathematics
• Statistics is said to be a branch of Applied Mathematics. The statistical
methods, particularly those concerned with drawing inferences about
population from a sample, is based on the mathematical theory of
probability which marked a major step in the intellectual history of
the world.
• Statistics: Statistics is the scientific study of numerical data based on
natural phenomenon
• Data: The word “Data” means information
Statistical data

• Quantitative or numerical information may be found almost

everywhere in business, economics and many other areas. It is
probably more common to refer to data in quantitative form as
statistical data. But not all numerical data is statistical and hence it is
necessary to understand the characteristics of statistical data.
Characteristics of statistical data
1. Statistics are Aggregates of Facts

• Single and isolated figures are not statistics for the reason that such figures are
unrelated and cannot be compared.
• Ex: The income of Mr. X is 90,000 per month.
• This would not constitute statistics although it is a numerical statement of fact.

2. Statistics are affected by a market extent by multiplicity of causes

• In general, facts and figures are affected to a considerable extent by a number of
forces operating together.
• Ex: Stattics of production of rice are affected by the rainfall, quality of soil, seeds
and manure, methods of cultivation, etc. It is very difficult to study separately the
effect of each of these forces on the production of rice.
3. Statistics are numerically expressed
• All statistics are numerical statement of facts i.e., expressed in
numbers.
• Qualitative statements such as ‘the population of India is rapidly
increasing’ or ‘the production of wheat is not sufficient’ do not
constitute statistics as these statements are vague and cannot make
out anything from them.
• On the other hand, the statement, ‘The estimated population of India
in the terminal year of the seventh plan is 803 million” is a statistical
statement.
4. Statistics are Enumerated or Estimated According to Reasonable Standards
of Accuracy
• Facts and figures about any phenomenon can be derived in two ways,
namely by actual counting and measurement or by estimate.
• Ex: An estimates that 1, 000 students witnessed the Republic Day parade
doest not mean exactly 5 lakhs: it may be a few hundred or less. On the
other hand, if we count the number of students in a class and say that
there are 40 students, this figure is 100% accurate.
• In many cases, 100 percent accuracy of numbers may be difficult to attain.
The degree of accuracy desired largely depends upon the nature and
object of the enquiry.
• Hence, in many statistical studies mathematical accuracy cannot be
attained. However, it is important that reasonable standards of accuracy
should be attained otherwise numbers may be altogether misleading
5. Statistics are collected in a systematic manner
• Before collecting statistics a suitable plan of data collection should be
prepared and the work must be carried out in a systematic manner.
Data collected in a haphazard manner would very likely lead to
fallacious conclusions.

6. Statistics are collected for a predetermined purpose.

• The purpose of collecting data must be decided in advance. The
purpose should be specific and well defined. A general statement of
purpose is not enough.
• EX: collection of data on prices, it would not serve any useful purpose
unless one knows whether he wants to collect data on wholesale or
retail prices and what are the relevant commodities in view.
7. Statistics should be placed in relation to each other
• If numerical facts are to be called statistics, they should be
comparable. Statistical data are often compared period-wise or
region-wise.
• Ex: The population of Indi at a particular point of time may be
compared with that of earlier years or with population of other
countries.
• Valid comparisons can be made only if the data are homogeneous. It
would be meaningless to compare the height of elephants with that
of human beings.
• In the absence of the above characteristics, numerical data cannot be
called statistics and hence “all statistics are numerical statements of
facts but all numerical statements of facts are not statistics”
• Statistical Methods
• Statistical methods are the systematic methods which are used to
organize, present, analyse and interpret the information effectively.
• Stages in statistical investigation
There are five stages in a statistical investigation
Collection
Organization
Presentation
Analysis
Interpretation
Collection
It is the first step in a statistical investigation
Utmost care must be taken
Available from existing published or unpublished sources or can be
collected by the investigator himself
Organization
Organization of data consists of three step
Step 1: Editing
The inconsistencies, irrelevant answers, omissions and wrong
computations in the returns from a survey may be corrected or
adjusted
Step 2: Classification
This means, arranging the data according to some common
characteristics possessed by the items constituting the data.
Step 3: Tabulation
It is to arrange the data in columns and rows so that there is absolute
clarity in the data presented
Presentation
Data presented in an orderly manner facilitates statistical analysis.
There are two different modes to present the data
• Diagrams
• Graphs
Analysis
The purpose of analysing data is to dig out information useful for
decision-making.
Methods used in analysing the data are numerous, ranging from
simple observation of the data to complicated, sophisticated and
highly mathematical techniques
Ex: Measures of Central tendency, Measures of dispersion (Variation),
correlation, regression etc
• Interpretation
Interpretation means drawing conclusions from the data collected and
analysed. It is a difficult task and needs a high degree of skill and
experience
Collection of Data
• Utmost care must be exercised while collecting data because data
constitute the foundation on which the superstructure of statistical
analysis is built.
• If the data are inaccurate and inadequate the whole analysis may be
faulty and the decisions taken misleading
Data may be obtained in two forms
1. Primary source: It is the one that itself collect the data.
2. Secondary Source: It is the one the makes use of available data which
was collected by some other agency.

Hence data is classified in to two categories

• Primary data
• secondary data
Primary and Secondary data
• Primary data is obtained from a primary sources (survey). Such data is
original in character and are generated in large number of surveys
conducted mostly by government and also by some individual,
institutions and research bodies.
• Data which are not originally collected but rather obtained from
published or unpublished sources are known as secondary data
Ex: For the office of registrar general and census commissioner the
census data are primary whereas for all other, who use such data they
are secondary
• The difference between primary and secondary data is only of degree-
data which are primary in the hands of one becomes secondary in the
hands of another
• Data are primary for the individual agency or institution collecting
them whereas for the rest of the world they are secondary
Secondary Data-Advantages
• It is highly convenient to use information which someone else has
compiled
• If secondary data are available, they are much quicker to obtain than
primary data
• Secondary data may be available on some subjects where it would be
impossible to collect primary data
Ex: Census data cannot be collected by an individual or research
organization, but can only be obtained from Government Publications
Secondary Data-Disadvantages
• It is difficult to find the data which exactly fit the need of the present
project
• It is difficult to find the data which are sufficiently accurate
Choice between primary and secondary data
• Nature and scope of the enquiry
• Availability of financial resource
• Availability of time
• Degree of accuracy desired
• The collecting agency i.e whether an individual, an institution or a
government body
Methods of collecting primary data
• Direct personal interviews
Suitable for intensive rather than extensive field surveys. Hence it
should be used only in those cases where intensive study of limited
field is desired
• Indirect oral interviews
Under this method of collecting data, the investigator contacts third
parties called witnesses capable of supplying the necessary information
It is suitable in such cases where indirect sources of information are
required to be tapped either because direct sources do not exists or
cannot be relied upon or would be reluctant to part with the
information
• Information from correspondent
This method is generally adopted in those cases where the information is
to be obtained at regular intervals from a wide area
• Mailed questionnaire method
This method is appropriate in cases where informants are spread over a
wide area
• Schedules sent through Enumerators
The enumerators contact the informants, get replies to the questions
contained in a schedule and sill them in their own handwriting in the
questionnaire form.
It is quite popularly used in practice.
The responsive rate is high because of the personal contact of the
enumerators
CLASSIFICATION OF DATA
Classification is “the process of arranging things in groups or classes
according to their resemblances and affinities and gives expression to
the unity of attributes that may subsist amongst a diversity of
individuals”.(by Connor)
The raw data, collected in real situations and arranged haphazardly, do
not give a clear picture. Thus to locate similarities and reduce mental
strain we resort to classification.
Classification condenses the data by dropping out unnecessary details.
It facilitates comparison between different sets of data clearly showing
the different points of agreement and disagreement.
It enables us to study the relationship between several characteristics
and make further statistical treatment like tabulation, etc.
• During population census, people in the country are classified
according to sex (males/ females), marital status
(married/unmarried), place of residence (rural/urban), Age (0–5
years, 6– 10 years, 11–15 years, etc.), profession (agriculture,
production, commerce, transport, doctor, others), residence in states
(West Bengal, Bihar, Mumbai, Delhi, etc.), etc
Modes of Classification
• There are four types of classification:
(i) qualitative;
(ii) quantitative;
(iii) temporal (Chronological) and
(iv) Spatial (Geographical)
Qualitative classification:
• It is done according to attributes or non-measurable characteristics;
like social status, sex, nationality, occupation, etc.
Example:
The population of the whole country can be classified into four
categories as married, unmarried, widowed and divorced.
• When only one attribute, e.g., sex, is used for classification, it is called
simple classification.
• When more than one attributes, e.g., deafness, sex and religion, are
used for classification, it is called manifold classification
Quantitative classification
• It is done according to numerical size like weights in kg or heights in
cm.
• Here we classify the data by assigning arbitrary limits known as class-
limits.
• The quantitative phenomenon under study is called a variable.
Example:
The population of the whole country may be classified according to
different variables like age, income, wage, price, etc. Hence this
classification is often called ‘classification by variables’.
Variable:
A variable in statistics means any measurable characteristic or
quantity which can assume a range of numerical values within certain
limits.
e.g., income, height, age, weight, wage, price, etc. A variable can be
classified as either discrete or continuous.
 Discrete variable:
A variable which can take up only exact values and not any fractional
values, is called a ‘discrete’ variable.
Ex: Number of workmen in a factory, members of a family, students in a
class, number of births in a certain year, number of telephone calls in a
month, etc., are examples of discrete-variable.
Continuous variable:
A variable which can take up any numerical value (integral/fractional)
within a certain range is called a ‘continuous’ variable.
Ex: Age, Height, weight, rainfall, time, temperature, etc., are examples
of continuous variables.
Temporal classification
It is done according to time.
Ex: Population of a country for several decades, exports and imports
of India for different five year plans, etc.

Spatial classification
It is done with respect to space or places.
Ex: Production of cereals in quintals in various states, population of a
country according to states, etc.
STATISTICAL SERIES (DISCRETE/CONTINUOUS)
• Statistical series may be either discrete or continuous.
• A discrete series may be formed from items which are exactly
measurable.
For example, the number of students getting exactly 40, 50, 60, 70
marks can be easily counted.
• A continuous series may be formed from items which cannot be
measured with absolute accuracy.
For example, the height or weight of students in a class.
FREQUENCY
The number of occurrence of the value is termed as the “frequency” of
that value.

FREQUENCY DISTRIBUTION
The way of tabulating a pool of data of a variable and their respective
frequencies side by side is called a ‘frequency distribution’ of those
data.
Discrete or Simple or ungrouped frequency distribution
It does not condense the data much and is quite cumbersome to grasp
and comprehend.
It becomes handy if the values of the variable are largely repeated.
• Now let us present the above data in the form of a simple (or,
ungrouped) frequency distribution using the tally marks.
• A tally mark is an upward slanted stroke (/) which is put against a
value each time it occurs in the raw data.
• The fifth occurrence of the value is represented by a cross tally mark
(\) as shown across the first four tally marks.
• Finally, the tally marks are counted and the total of the tally marks
against each value is its frequency
Grouped Frequency Distribution
• The above data can be further condensed by putting them into
smaller groups, or, classes called “class-Intervals”.
• The number of items which fall in a class-interval is called its “class
frequency”.
• The tabulation of raw data by dividing the whole range of
observations into a number of classes and indicating the
corresponding class-frequencies against the class-intervals, is called
“grouped frequency distribution”.
• Let us now represent the data in Table 1.3 as grouped frequency
distribution.
• Find that the lowest value (56) and the highest value (73) in the given
data. Thus for approximately 10 classes the difference of values
between two consecutive classes will be (73-56)/10 =17/10=1.7 ~2
The steps in preparing the grouped frequency distribution are:
1. Determining the class intervals.
2. Recording the data using tally marks.
3. Finding frequency of each class by counting the tally marks.
• Several Important Terms

a) Class-limits: The maximum and minimum values of a class-interval

are called upper classlimit and lower class-limit respectively.
• In Table 1.5 the lower class-limits of nine classes are 56, 58, 60, 62,
64, 66, 68, 70, 72 and the upper class-limits are 57, 59, 61, 63, 65, 67,
69, 71, 73.
• (b) Class-mark or Mid-value: The class-mark, or, mid-value of the
class-interval lies exactly at the middle of the class-interval and is
given by:
• Class-mark or Mid-value = (lower class limit + upper class limit)/2
• Class boundaries: Class boundaries are the true-limits of a class interval. It is
associated with grouped frequency distribution, where there is a gap between the
upper class-limit and the lower class-limit of the next class.

This can be determined by using the formula:

• Lower class boundary = lower class-limit – (1/ 2) d
• Upper class boundary = upper class-limit + 1 2 d
where d = common difference between the upper class-limit of a class-interval and the
lower class-limit of the next higher class interval

• The class-boundaries of the class-intervals of Table 1.5 will be 55.5 – 57.5; 57.5 – 59.5;
59.5 – 61.5; etc., since d = 58 – 57 = 60 – 59 = ...= 1.
• The class-boundaries convert a grouped frequency distribution (inclusive type) into a
continuous frequency distribution.
Exclusive type
• It is suitable for continuous variable data and facilitates mathematical
computations.

Inclusive type
• This is suitable for discrete variable data.
• There is no ambiguity to which an item belongs but the idea of
continuity is lost.
• To make it continuous, the class limits are converted into class
boundaries.
(e) Width or Length (or size) of a Class-interval:
• Width of a class-interval = Upper class boundary − Lower class-
boundary

• Common width of a class-interval = difference between two

successive upper Class-limits (or, two successive lower class-limits)
(when the class-intervals have equal widths)
(f) Relative frequency:
• Relative frequency = class frequency/ total frequency
(g) Percentage frequency:
• Percentage frequency of a class-interval = (class frequency/ total
frequency) x 100
• CUMULATIVE FREQUENCY DISTRIBUTION
• A frequency distribution becomes cumulative when the frequency of each class-interval is
cumulative. Cumulative frequency of a class-interval can be obtained by adding the frequency
of that class-interval to the sum of the frequencies of the preceding class-intervals.
There are two types of cumulative frequencies:
(1) less than (or, from below) cumulative frequency and
(2) more than (or, from above) cumulative frequencies.

• In the less than type, the cumulative frequency of each class-interval is obtained by adding
the frequencies of the given class and all the preceding classes, when the classes are
arranged in the ascending order of the value of the variable.

• In the more than type, the cumulative frequency of each class-interval is obtained by adding
the frequencies of the given class and the succeeding classes.

• For grouped frequency distribution, the cumulative frequencies are shown against the class-
boundary points
Here, d = Gap between two consecutive classes = 1,
Hence, (1 /2) d = 0 5
∴ Lower class-boundary points are 9.5, 19.5, 29.5, etc. and the
last upper class-boundary point is 59.5. Hence, the class
boundary points are 9.5, 19.5, ..., 59.5.
PRESENTATION OF STATISTICAL DATA
Statistical data can be presented in three different ways:
(1) Textual presentation
(2) Tabular presentation, and
(3) Graphical presentation.
Textual presentation: This is a descriptive form.
The disadvantages of textual presentation are:
• it is too lengthy
• there is repetition of words
• comparisons cannot be made easily
• it is difficult to get an idea and take appropriate action.
• Textual presentation: This is a descriptive form.
The disadvantages of textual presentation are:
• it is too lengthy
• there is repetition of words
• comparisons cannot be made easily
• it is difficult to get an idea and take appropriate action.
Tabular presentation, or, Tabulation
Tabulation may be defined as the systematic presentation of numerical data
in rows or/and columns according to certain characteristics.
It expresses the data in concise and attractive form which can be easily
understood and used to compare numerical figures.
Before drafting a table, you should be sure what you want to show and who
will be the reader.
The advantages of a tabular presentation over the textual presentation are:
• it is concise
• there is no repetition of explanatory matter
• comparisons can be made easily
• the important features can be highlighted and
• errors in the data can be detected.
• Tabular presentation, or, Tabulation
• Tabulation may be defined as the systematic presentation of numerical
data in rows or/and columns according to certain characteristics.
• It expresses the data in concise and attractive form which can be easily
understood and used to compare numerical figures.
• Before drafting a table, you should be sure what you want to show and
who will be the reader.
The advantages of a tabular presentation over the textual presentation are:
• it is concise
• there is no repetition of explanatory matter
• comparisons can be made easily
• the important features can be highlighted and
• errors in the data can be detected.
An ideal statistical table should contain the following items:
• Table number: A number must be allotted to the table for
identification, particularly when there are many tables in a study.
• Title: The title should explain what is contained in the table. It should
be clear, brief and set in bold type on top of the table. It should also
indicate the time and place to which the data refer.
• Date: The date of preparation of the table should be given.
• Stubs or Row designations: Each row of the table should be given a
brief heading. Such designations of rows are called “stubs”, or, “stub
items” and the entire column is called “stub column”.
• Column headings, or, Captions: Column designation is given on top
of each column to explain to what the figures in the column refer. It
should be clear and precise. This is called a “caption”, or, “heading”.
Columns should be numbered if there are four, or, more columns
• Body of the table: The data should be arranged in such a way that any
figure can be located easily. Various types of numerical variables should
be arranged in an ascending order, i.e., from left to right in rows and
from top to bottom in columns. Column and row totals should be given.
• Unit of measurement: If the unit of measurement is uniform
throughout the table, it is stated at the top right-hand corner of the
table along with the title. If different rows and columns contain figures
in different units, the units may be stated along with “stubs”, or,
“captions”. Very large figures may be rounded up but the method of
rounding should be explained.
• Source: At the bottom of the table a note should be added indicating
the primary and secondary sources from which data have been
collected.
• Footnotes and references: If any item has not been explained
properly, a separate explanatory note should be added at the bottom
of the table.
• A table should be logical, well-balanced in length and breadth and
the comparable columns should be placed side by side.
Light/heavy/thick or double rulings may be used to distinguish sub
columns, main columns and totals. For large data more than one table
may be used.
• Exercise Problem :
Draw up a blank table to show the number of employees in a large
commercial firm, classified according to (i) Sex: Male and Female; (ii)
Three age-groups: below 30, 30 and above but below 45, 45 and above;
and (iii) Four income-groups: below Rs. 400, Rs. 400–750, Rs. 750–1,
000, above Rs. 1, 000.
Objectives of Tabulation
The main objectives of tabulation are stated below:
• to carry out investigation;
• to do comparison;
• to locate omissions and errors in the data;
• to use space economically;
• to study the trend;
• to simplify data;
• to use it as future reference
Sorting
• Sorting of data is the last process of tabulation. It is a time-consuming
process when the data is too large.
• After classification the data may be sorted using either of the
following methods:
• Manual method: Here the sorting is done by hand by giving tally
marks for the number of times each event has occurred. Next the
total tally marks are counted. The method is simple and suitable for
limited data.
• Mechanical and electrical method:
To reduce the sorting time mechanical devices may be used. This is
described as mechanical tabulation. For electrical tabulation data
should be codified first and then punched on card. For each data a
separate card is used. The punched cards are checked by a machine
called ‘verifier’. Next the cards are sorted out into different groups as
desired by a machine called ‘sorter’. Finally, the tabulation is done by
using a tabulator. The same card may be sorted out more than once for
completing tables under different titles.
• Tabulation using electronic computer:
It is convenient to use electronic computer for sorting when (a) data
are very large; (b) data have to be sorted for future use and (c) the
requirements of the table are changing. Such a tabulation is less time-
consuming and more accurate than the manual method.
Diagrams
Diagrams are various geometrical shape such as bars, circles etc.
Diagrams are based on scale but are not confined to points or lines. They
are more attractive and easier to understand than graphs.

Merits
1. Most of the people are attracted by diagrams.
2. Technical Knowledge or education is not necessary.
3. Time and effort required are less.
4. Diagrams show the data in proper perspective.
5. Diagrams leave a lasting impression.
6. Language is not a barrier.
7. Widely used tool
• Demerits (or) limitations
1. Diagrams are approximations.
2. Minute differences in values cannot be represented properly in
diagrams.
3. Large differences in values spoil the look of the diagram.
4. Some of the diagrams can be drawn by experts only. eg. Pie chart.
5. Different scales portray different pictures to laymen
• Types of Diagrams
The important diagrams are
1. Simple Bar diagram.
2. Multiple Bar diagram.
3. Component Bar diagram.
4. Percentage Bar diagram.
5. Pie chart
6. Pictogram
7. Statistical maps or cartograms
In all the diagrams and graphs, the groups or classes are represented on
the x-axis and the volumes or frequencies are represented in the y-axis
• Simple Bar diagram If the classification is based on attributes and if
the attributes are to be compared with respect to a single character
we use simple bar diagram.
Example
1. The area under different crops in a state.
2. The food grain production of different years.
3. The yield performance of different varieties of a crop.
4. The effect of different treatments etc.
Simple bar diagrams Consists of vertical bars of equal width. The
heights of these bars are proportional to the volume or magnitude of
the attribute. All bars stand on the same baseline. The bars are
separated from each others by equal intervals. The bars may be
coloured or marked.
• Example
The cropping pattern in Tamil Nadu in the year 1974-75 was as follows.
• Multiple bar diagram
If the data is classified by attributes and if two or more characters or
groups are to be compared within each attribute we use multiple bar
diagrams. If only two characters are to be compared within each
attribute, then the resultant bar diagram used is known as double bar
diagram.
The multiple bar diagram is simply the extension of simple bar diagram.
For each attribute two or more bars representing separate characters
or groups are to be placed side by side. Each bar within an attribute will
be marked or coloured differently in order to distinguish them. Same
type of marking or colouring should be done under each attribute. A
footnote has to be given explaining the markings or colourings
• Component bar diagram
This is also called sub – divided bar diagram. Instead of placing the bars
for each component side by side we may place these one on top of the
other. This will result in a component bar diagram
 Graphical representation
Graphs
Graphs are charts consisting of points, lines and curves. Charts are
drawn on graph sheets. Suitable scales are to be chosen for both x and
y axes, so that the entire data can be presented in the graph sheet.
Graphical representations are used for grouped quantitative data.
Histogram
• When the data are classified based on the class intervals it can be
represented by a histogram. Histogram is just like a simple bar
diagram with minor differences. There is no gap between the bars,
since the classes are continuous. The bars are drawn only in outline
without colouring or marking as in the case of simple bar diagrams. It
is the suitable form to represent a frequency distribution.
• Class intervals are to be presented in x axis and the bases of the bars
are the respective class intervals. Frequencies are to be represented
in y axis. The heights of the bars are equal to the corresponding
frequencies
• Frequency Polygon
The frequencies of the classes are plotted by dots against the mid-
points of each class. The adjacent dots are then joined by straight lines.
The resulting graph is known as frequency polygon.
• Frequency curve
The procedure for drawing a frequency curve is same as for frequency
polygon. But the points are joined by smooth or free hand curve.
Ogives
Ogives are known also as cumulative frequency curves and there are
two kinds of ogives. One is less than ogive and the other is more than
ogive.
• Less than ogive: Here the cumulative frequencies are plotted against
the upper boundary of respective class interval.
• Greater than ogive: Here the cumulative frequencies are plotted
against the lower boundaries of respective class intervals