SECTION 5A HIGHLIGHTS

Vocabulary: Statistics is a Science, Statistics are data,  population, sample, data, sample statistic, population parameter, random sample, bias, representative Sample, margin of error, 95% confidence interval, experiment, observational study.

Assignment: Read about Fundamentals of Statistics in Section 5A of the text.   Choose three stocks to follow for the semester.  Do pp. 313-317 RQ(1-5), BSC(15,16,17,21,24,27,28,47,49,55), WP(61,63), ITN(69).

In The News :
ITN Link:   Pew Research Center

Notes:
Five basic steps of a statistical study
1.  Determine the goal.
2.  Choose an appropriate sized sample and collect raw data from the sample.
3.  Consolidate data into a set of sample statistics.
4.  Infer characteristics about the population parameters.
5.  Evaluate the likelihood that the inferred characteristics reflect the true population parameters.

The sampling procedure is likely the most important step in a statistical study.  The sample must be representative of the population if the generalization of the sample statistics is to accurately reflect the population parameters.

In this text we assume that margin of error refers to a 95% confidence interval.

The two major types of experiments are observational studies and controlled experiments.

This is a nice link for some additional information:   GENERAL STATISTICS INFORMATION

Skills to be mastered:
In a statistical study you should be able to identify the population and the sample.
In a statistical study you should be able to identify the population parameter and the sample statistic.
Discuss factors to consider in choosing a random sample.
State the 95% confidence interval for a survey.