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Statistics is the study of how data is collected, interpreted, presented, and organized. The ability to analyze and interpret data is important to every professional in this field because this data is used in decision-making.
Types of Statistics
Statistics is divided into two major categories;
- Descriptive statistics
In this method, data is presented in a summarized manner. The summarized data is obtained from a sample in a population using different ways, such as standard deviation. Descriptive statistics do not need generalization past the data collected. Descriptive statistics is divided into
- Measures of dispersion
- Measures of frequency
- Measures of central tendency
- Measure of position
- Inferential statistics
Inferential statistics is used to intercept the meaning of descriptive statistics. Inferential statistics uses the probability principle to check whether the trends contained in the research can be generalized to the bigger population. Inferential statistics is generally used to draw conclusions.
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Uses of statistics
- Statistics is used to obtain the correct quantitative data
- Through statistics, people can present complex data. This is done through the presentation of data in a diagrammatic, graphic form, etc.
- Statistics explain the pattern and nature of variability through observations of something likely to happen.
- Through statistics, you can depict data in tabular or graphical form to understand it easily and properly.
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Stages of statistics
Statistics involves different stages, which include;
- Collection of Data: This is the first step. There are different methods of collecting data that people can use.
- Organizing the data: The collected data is then organized in a meaningful manner. This is to make the data easier to understand.
- Data presentation: The third step is simplifying the data. This includes presenting the data in the form of graphs, tables, and diagrams.
- Analyzing the data: After presenting the data, analysis is important to get correct results. In this step, you can use measures of central tendency, regression, measures of dispersion, etc.
Application of statistics
- State – The state uses statistics in its departments on different matters. They use statistics to know more about the population, manpower, crimes rates, wealth, income, and more.
- Economics – Economics is the study of how limited resources are allocated most optimally. Statistics help economists in answering questions such as;
- What to produce
- The quantity to produce
- How to produce
- Statistics help experts in understanding different economic issues and how to solve them using economic policies.
- In science - Statistics is used in demography to study fertility, population, growth, and mortality.
- Biology and Medicine – Statistics is very popular in medicine and biology. It is mainly used in pandemics and also in collecting data on the causes of diseases. It is also used to check the rate of recoveries against the rate of death on specific diseases.
- In research – Statistics is used in research areas that people do not have much knowledge in. It is used to make conclusions in many aspects of research.
- Business management – Statistics is very important in the field of statistics. Management uses statistics to determine what to produce more, what is demanded, what to supply, and where to increase allocation. Management also used information from statistics to determine the number of employees to keep at a certain period. You can also use statistics in determining competition levels.