Chapter I. Random Variables and Probability Distributions
Chapter I. Random Variables and Probability Distributions
What is Statistics?
Statistics is the study of the collection, analysis, interpretation, presentation, and organization of
data.
Understanding statistics helps people determine the meaning of statistics in the news and other fields.
Studying statistics of data will help us determine the probability of an event to happen.
It is important to get the statistics of the data by careful mathematics and understanding. In this way,
we can then derive a correct probability.
What is Probability?
Probability is the chance that something might happen. When you calculate the probability of an
event, you look at chances of getting what you want versus all the possible things that can happen.
Probability, by word analysis, we can creatively break down the word into two: “Probable” and
“Ability”.
For example, let us say you are going to pick one black ball out of the four balls colored white, black,
red and blue. If asked, the probability of getting a black ball is 1/4.
It is used to understand how a small sample can reveal accurate information about a large population.
Age, business income and expenses, country of birth, capital expenditure, class grades, eye color and
vehicle.
Now, what is the meaning of “non-countable infinite number of values”. This means that the values
are not always whole numbers.
For example, can you count the number of students in a room? Yes, you can. Therefore, the “number
of students in a room” is a discrete variable.
Can you count the number of heads when you flip a coin twice? Yes, you can also do that. Therefore,
the “flipping of coins” is also a discrete variable.
An example of a continuous variable is height. The height of a person is not always a whole number.
The height of a person can be 5.1 ft, 5.2 ft, 5.3 ft and so on. Therefore, the height of a person can be
expressed using an infinite number of values.
Both variables can also be defined in terms of the Cumulative distribution function.
Probability mass function of a discrete random variable X is a list of the values of X with their
associated probabilities.
Consider flipping a coin two times. Let us say, we are going to count the number of heads that we see
in two coin flips.
The probability distribution of the said experiment is shown below.
From this table, we can see that the probability of getting no head in two coin flips is 0.25, the
probability of getting one head in two coin flips is 0.50 and the probability of getting two heads in
two coin flips is 0.25.
Two Key Properties of Discrete Probability Distribution