BASIC CONCEPTS OF

STATISTICS

Prepared by: IRSHAAD ALIUDIN ABDULRAHMAN, MSciEd-MATH

College of Arts and Sciences, Cotabato State University Mathematics in the Modern World

Introduction
Statistics plays a very important role in the development of the country.
Techniques are employed in almost every phase of life. Surveys are designed to
collect early returns on the election day to forecast the outcome of the election.

Understanding its basic concepts will lead one to understand better the
applications statistics does with decision making.

In this lesson, you will be introduced to the basic concepts and principles of
statistics.

Lesson Objectives
At the end of the units, the students should be able to:

1. compare and differentiate some paired-terms such as descriptive-inferential

statistics, population-sample, census-survey, parameter-statistics;
2. differentiate between qualitative and quantitative variables;
3. differentiate between discrete and continuous variables;
4. classify data; and
5. characterize and give examples of the different scales or levels of measurement.

The Meaning of Statistics

Statistics is a term which has several meanings. It is either singular or plural

according to how the term is used.

Statistics is that branch of mathematics which deals with the collection,

presentation, analysis and interpretation of data.

From the above definition, statistical methods therefore involve several steps
of procedures. These are the collection of data, presentation of data, analysis of data
and finally the interpretation of data.

• Collection of Data – this refers to data gathering using one or

combination of following methods: interview, questionnaire, registration or
observation.
• Presentation of Data – refers to the organization of data into tables,
graphs or charts so that the reader will be able to get the clear picture of
the various relationships.
• Analysis of the Data – this refers to the process of extracting relevant
information from the given data.
• Interpretation of the Data – this refers to the task of drawing conclusions
from the analyzed data.

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College of Arts and Sciences, Cotabato State University Mathematics in the Modern World

The Major Areas of Statistics

There are two major areas of statistics. These are the descriptive statistics
and the inferential statistics.

Descriptive statistics is only concerned with summarizing values to

characterize data gathered from a sample or population. It employs graphs, tables,
measures of central tendency, and position and variability. It does not attempt to
draw conclusions about anything that pertains to more than the data themselves.

Inferential statistics is concerned with making generalizations from

information gathered from a small group of observations or from a sample to a bigger
group of observations or to a population.

The Sources of Data for the Research or Investigation

In research, the researcher has to determine the sources of his data. Is he

going to use all cases or just a portion of it? If he decides to have his source of data
from the entire cases, then he uses the population. Otherwise, if he intends to have
a portion of all the cases as the source of his data, he uses the sample.

Population does not necessarily mean people living in a certain community.

In statistics, population refers to an aggregate or a set of all units or cases being
studied having at least one common characteristics.

A sample on the other hand is a subset of units or cases drawn or taken from
a population. If the population is too large that it becomes costly, impractical and
time consuming for the researcher to study, then he has to get a sample
representative of the population.

The Descriptive Measures in a Research or Investigation

When one studies the entire population and make measures descriptive about
it, then the descriptive measures are called parameters. Parameters are
characteristics of the population.

If a researcher gets a sample and obtain measures about it, the descriptive
measures are called statistics (plural). Statistics (pl) are characteristics of a sample.

The Processes in a Research or Investigation

There are two processes which are involved in a research or investigation.

These are the census and sample surveys.

The census is a process which refers to when information or data are gathered
from all units of the population. A sample survey is a process when a part of the
population is used to obtain data.

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College of Arts and Sciences, Cotabato State University Mathematics in the Modern World

The Constant and the Variable

A constant is a quantity that takes on a single fixed numerical value. It does

not change or does not show differences in value.

A variable is a trait, attribute, property of things, persons or places that

change in quality, quantity or magnitude.

Assumptions and Hypothesis

An assumption is a statement that is accepted as true without proof. A

hypothesis is a belief; a conjecture; a tentative theory or supposition provisionally
adopted to account for certain facts. A hypothesis has to be statistically proven as
either true or false. If the hypothesis is true, then it has to be accepted; otherwise,
it has to be rejected.

The Kinds of Variables

Variables that can be assigned numerical values are called variates. The kinds
of variables depend on the kind of numbers they can be assigned with.

• Discrete or Categorical Variables – these variables can be assigned

counting numbers only as variates.

• Continuous Variables – these variables can be assigned counting

numbers, fractions or decimals, which are results of measurements as
variates.

The Types of Data

Data are those that are manipulated or computed statistically. These are
results of counting or measurements or observations of variable.

• Qualitative Data – these refer to the attributes or characteristics of a

population or a sample. They are usually expressed as categories.

• Quantitative Data – these are the results of counting or measurements.

The Scales/Levels of Measurements

The meanings attached to numbers depend on the scale or level of

measurement that classifies the data. A large number of statistical analysis tools
are available for each type of measurements.

• Nominal Scale/Level. This is the lowest level of measurement. This scale

is used primarily for grouping or categorizing variables. The data represent
the number of elements for a particular category. The categories simply
named and the names are not ordered or ranked. Numbers assigned are

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College of Arts and Sciences, Cotabato State University Mathematics in the Modern World

simply used to categorize in order to identify one observation from another

observation.

• Ordinal Scale/Level. This scale/level has categories similar with the

nominal scale. However, these categories are so ordered or ranked. The
categories themselves suggest difference, but we cannot quantify the
difference with the information provided. The assigned ranks cannot be
added.

• Interval Scale/Level. This level of measurement has ranked categories

for the variable. The units are equally distant; thus, the magnitude of
difference can be compared but the location of true zero is not known; that
is, zero on the scale is arbitrary.

• Ratio Scale/Level. This is the highest level of measurement. All the

properties of the interval scale are applicable in the ratio scale plus the
presence of the “true zero point” which reflects the absence of the
characteristics measured.

However, in actual researches, there is no distinction between the interval

and ratio scales. These are treated customarily in the same manner in statistics in
many fields or disciplines.

Summary

Let us summarize the different basic concepts in statistics which we have

learned from this lesson.

We have learned that statistics is a term which is either singular or plural,

depending on how it is used. In its singular sense, statistics is that branch of
mathematics which deals with the collection, presentation, analysis and
interpretation of data.

In its plural sense, statistics refer to the measures which describe a given
sample. These descriptive measures are numerical computations derived from a set
of data.

Statistics is a tool for research and research is defined as a “careful, critical

and exhaustive investigation to discover new facts which will test a hypothesis, revise
accepted conclusions or contribute positive values to society in general (McAsham).
Thus, the research process includes collecting and processing data to arrive at
answers to questions identified in the investigation.

The major areas of statistics are the descriptive and inferential nature.
Descriptive statistics is only concerned with summarizing values to characterize
data gathered from a sample or population. Inferential statistics on the other hand,
is concerned with making generalizations from information gathered from a sample
to the population.

Population is the set of all units/cases being studied having at least one
common characteristic. A sample is a subset of units/cases taken from a
population. A sample is representative of the population.

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College of Arts and Sciences, Cotabato State University Mathematics in the Modern World

The measures descriptive of the population are called parameters and these
are usually denoted by letters in the Greek alphabet. The measures descriptive of a
sample are called statistics (plural) are denoted by letters in the English alphabet.

In the process of investigation, the census is referred to when information is

gathered from all the units of the population. In here, complete enumeration is done.
The sample survey is done when a part of the population is used to gather data.

A constant is a quantity that takes on a single fixed numerical value; it does

not change or does not show difference in value. A variable is a trait, an attribute,
or property of units that changes in quality, quantity or magnitude.

In doing investigation, one must have assumptions and hypothesis. An

assumption is a statement which is accepted as true without proof. A hypothesis
is a belief, a conjecture, a tentative theory or supposition provisionally accepted to
account for certain facts.

There are two kinds of variables, namely: the discrete or categorical variables,
and the continuous variables. The numerical values assigned to the variables are
called variates. A variable is discreet if it can be assigned counting numbers only
as variates. A continuous variable is one which can be assigned counting numbers,
fractions or decimals which are the results of measurements of the variates.

Those which are manipulated or computed statistically are called data. Data
are classified as either qualitative or quantitative. Qualitative data refer to those
attributes or characteristics of a population or sample. Quantitative data are the
results of counting or measurements.

Finally, there are four scales or levels of measurements. These are: the
nominal, ordinal, interval, and the ratio scale.

In the nominal scale, numbers assigned to the variables are simply used to
categorize the variables. These numbers are simply given to distinguish one
observation from another.

In the ordinal scale, the variables have also categories. However, these
categories are ordered or ranked. Thus, numbers assigned are used not only to
distinguish one observation from the others, but the rank-ordering idea is assumed.

The ranked categories for the variables are also present in the interval scale.
However, the units are equally distant, thus magnitude of difference can be compared
but the location of true zero is not known.

The highest level of measurement is the ratio scale. All properties of the
interval scale are applicable in the ratio scale; with the addition of the true zero. The
zero point is absolute.

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