1 - 1 © 2001 Prentice-Hall, Inc. Statistics for Business and Economics Statistics, Data, & Statistical Thinking Chapter 1.

1 - 1 - 11

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Statistics for Business Statistics for Business and Economicsand Economics

Statistics, Data, &Statistics, Data, &Statistical ThinkingStatistical Thinking

Chapter 1Chapter 1

1 - 1 - 22

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Learning ObjectivesLearning Objectives

1.1. Define StatisticsDefine Statistics2.2. Describe the Uses of StatisticsDescribe the Uses of Statistics3.3. Distinguish Descriptive & Inferential Distinguish Descriptive & Inferential

StatisticsStatistics4.4. Define Population, Sample, Parameter, Define Population, Sample, Parameter,

& Statistic& Statistic

1 - 1 - 33

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

What Is Statistics?What Is Statistics?

Why?Why?1.1. Collecting DataCollecting Data e.g. Surveye.g. Survey

2.2. Presenting DataPresenting Data e.g., Charts & Tablese.g., Charts & Tables

3.3. Characterizing DataCharacterizing Data e.g., Averagee.g., Average

Data Data AnalysisAnalysis

Decision-Decision-MakingMaking

© 1984-1994 T/Maker Co.

© 1984-1994 T/Maker Co.

1 - 1 - 44

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Application AreasApplication Areas

EconomicsEconomics ForecastingForecasting DemographicsDemographics

SportsSports Individual & Team Individual & Team

PerformancePerformance

EngineeringEngineering ConstructionConstruction MaterialsMaterials

BusinessBusiness Consumer PreferencesConsumer Preferences Financial TrendsFinancial Trends

1 - 1 - 55

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Statistical MethodsStatistical Methods

StatisticalMethods

DescriptiveStatistics

InferentialStatistics

1 - 1 - 66

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Descriptive Descriptive StatisticsStatistics

1.1. InvolvesInvolves Collecting DataCollecting Data Presenting DataPresenting Data Characterizing Characterizing

DataData

2.2. PurposePurpose Describe DataDescribe Data X = 30.5 SX = 30.5 S22 = 113 = 113

00

2525

5050

Q1Q1 Q2Q2 Q3Q3 Q4Q4

$$

1 - 1 - 77

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Inferential StatisticsInferential Statistics

1.1. InvolvesInvolves EstimationEstimation Hypothesis Hypothesis

TestingTesting

2.2. PurposePurpose Make Decisions Make Decisions

About Population About Population CharacteristicsCharacteristics

Population?Population?

1 - 1 - 88

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Key TermsKey Terms

1.1. Population (Universe)Population (Universe) All Items of InterestAll Items of Interest

2.2. SampleSample Portion of PopulationPortion of Population

3.3. ParameterParameter Summary Measure about PopulationSummary Measure about Population

4.4. StatisticStatistic Summary Measure about SampleSummary Measure about Sample

1 - 1 - 99

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

Key TermsKey Terms

1.1. Population (Universe)Population (Universe) All Items of InterestAll Items of Interest

2.2. SampleSample Portion of PopulationPortion of Population

3.3. ParameterParameter Summary Measure about PopulationSummary Measure about Population

4.4. StatisticStatistic Summary Measure about SampleSummary Measure about Sample

• PP in in PPopulation opulation

& & PParameterarameter• SS in in SSample ample

& & SStatistictatistic

1 - 1 - 1010

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

StatisticalStatisticalComputer PackagesComputer Packages

1.1. Typical SoftwareTypical Software SASSAS SPSSSPSS MINITABMINITAB ExcelExcel

2.2. Need Statistical Need Statistical UnderstandingUnderstanding

AssumptionsAssumptions Limitations Limitations

1 - 1 - 1111

© 2001 Prentice-Hall, Inc.© 2001 Prentice-Hall, Inc.

ConclusionConclusion

1.1. Defined StatisticsDefined Statistics2.2. Described the Uses of StatisticsDescribed the Uses of Statistics3.3. Distinguished Descriptive & Inferential Distinguished Descriptive & Inferential

StatisticsStatistics4.4. Defined Population, Sample, Parameter, Defined Population, Sample, Parameter,

& Statistic& Statistic

End of Chapter

Any blank slides that follow are blank intentionally.