Chapter: 2 HORIZONTAL BAR DIAGRAM

STubENT
CATEGORY 300

250

206

COLLECTION OF DATA 100

50

100 150 200 290 300 350

MARKS

Now we know that, in the plural sense, Statistics means data

or quantitative information capable of some meaningful
conclusions. The present chapter focuses on the collection of
data, including: () sources of data, and (ii) methods of collecting
data. But before that we must know why do we collect data.
For a student of Economics, the purpose of data collection is
to understand, analyse and explain a socio-economic problem,
for example, the problem of unemployment or the problem of
| poverty. While analysing the problem we also try to understand
the causes behind the problem as also the possible solutions. The
entire exercise needs a comprehensive support of numerical
facts, called data.

1. PRIMARY AND SECONDARY SOURCES OF

COLLECTION OF DATA
There aretwo sources of collection of data:
(i) PrimarySource, and
(i) Secondary Source.
Primary Source: You want to know about the quality of life of
the people in your town. You may like to ascertain the quality of
Iite in terms of per capita expenditure of different households in
your town. Youdecide tocollect the basic data yourself through
statistical survey(s), of course with the help of investigators
or lield workers. While doing this exercise you are relying on
primary sourceof the data. Thus, primary sourceof data implies
colection of data from its source of origin. It offers you tirst
hand quantitative information relating to your statistical study.
You or your team of investigators are contacting the respondents
peopie offering basic information) and obtaining the desired
quanútative information on per capita expenditure of different
houscholds in your town.
27
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28
Secondary Data: In the words of M.M. Blair, "Secondary data e
os wachawalready m extstence.and which have been rollected. for some
othey purpose llhan the ansuenng of the quesion in hund." According
lo Wessel, "Dala collected bv other persons ae mlled scDndary dala
These data are, therefore, called second-band data. Obviously,
since these data have already been collected by somebody else,
these are available in the form of published or unpublished
reports. For example, data relating to Indian Railways which are
annually published by the Railway Board, would be secondary
data for any researcher.
Principal Differences between Primary and Secondary Data
The following are some principal differences between
andsecondary data: primary Primary and Secondary
Data-The Basic Difference
(1) Difference in Originality: Primary data are original because If we are collecting data
from its SOurce of origin,
these are collected by the investigator from the source of their for the first tirme, it is
origin. Against this, secondary data are already in existence primary data
If we are using data
and therefore, are not original. which have already been
(2)Difference in Objective: Primary data are always collected by somebody
else, it is secondary data.
related to a specific objective of the investigator. These Note: If you are getting
data, therefore, do not need any adjustment for the data from somebody
concerned study. On the other hand, secondary data have else who collected it
from its sOurce of origin
already been collected for some other purpose. Therefore, but did not use it for
these data need to be adjusted to suit the objective of study his own study, it will be
in hand. deemed as primary data.
(3) Difference in Cost of Collection: Primary data are costlier
in terms of time, money and efforts involved than the
secondary data. This is because primary data are collected
for the first time from their source of origin. Secondary data
are simply collected from the published or unpublished
reports. Accordingly, these are much less expensive.
Of course, it may be noted that there are no fundamental
differences between primary data and secondary data. Data
are data, whether primary or secondary. These are classified
as primary or secondary just on the basis of their collection:
first-hand or second-hand. Thus, a particular set of data when
collected by the investigator fora specific purpose from the source
of origin, would be primary data. And the same set of data, when
Used by some other investigator for his own purpose, would be
known as secondary data. Thus, Secrist has rightly pointed out,
"The distnction between primary and secondury datais one of theedegee.
Data
hands of othey" prmary in the hands of one pavty may be secondary nthe

Collection of Data 29
 ho well-know
methods data
source, datarespondents.
with The investigator
obtain
ol particularly
Schedules: of obtained. example
which relation
statistical modes to required. required.
primnary the tolerant.
COLLECTED: by the the industry
large.
COLLECTION
METHODS/
STATISTICAL
SOME of
some and
various methoddirect
from
be
and is
an suitable
very
its of and
Surveys, to that conditions is significance,
andis
from set Questionnaires establishes
is requires
impartial not data respondents
theinvestigator is
are and an
Investigation, the information data or the
of following
a data:
collected
study
Investigation, of is of limited
of
IS primary investigation
description Investigation economic primary
workers secret.
originality
DATA DATA (Questionnaire)
Mailing
()
the
however,
investigatorefficient,
the
the is
be The Interviews: (A)Personal through (C)
Personal Telephonic
Interviews. Interviews by the
(A)
Personal investigation great
kept with
BASIC OF to involves
is
techniques.
collecting Oral Information
(3) Enumerator's
(2)
whom
collected method,
the
diligent,their
collecting
of be is of contact
brief personalthe with degree
data Personal to data
HOW MODES It
basicit? of
DirectIndirectInformation a
from
words,
personally verycontact
this
about
of of information is
of direct
do statistical
methods ()(2)
is
collection:
Following direct persons method. methodfieldgreater accuracy
information
this
When we Direct other of be Suitability when
should
success the
2. do (B)
(1) TheareIn the
Direct Thiswhen: a
i) (1)(i)(iv)(v)
stics
for
Economic
Merits
Data. thus, collected have the following merits:
(o Originality: Data have ahigh degree of originality.
(im) Accuracy: Data are lairly accuratewhen personally collected.
(ii) Reliability: Because the information is collected by the
investigator himselt, reliability of the data is not doubted.
(iv) Related Information: When in direct contact with the
respondents, the investigator may obtain other related
information as well.
(v) Uniformity: There is a fair degree of uniformity in the data
collected by the investigator himself from the respondents. It
facilitates comparison.
(vi) Elastic: Thismethod is fairly elastic because the
investigator
can always make necessary adjustments in his set of questions.
Demerits
However, the method of direct personal investigation suffers
from certain demerits, as under:
() Dificult toCover Wide Areas: Direct
personal investigation
becomes very difficult when the area of the study is very wide.
(ü) Personal Bias: This method is highly prone to
personal
bias of the investigator. As a result, the data may lose their
credibility.
(iii) Costly: This mnethod is very expensive in terms of the time,
money and efforts involved.
(iv) Limited Coverage: In this method, area of
generally small. The results are, therefore, less investigation
is
This may lead to wrong conclusions. representative.
Learning by doing
" You are to conduct direct personal
investigation on the quality of teaching in a
Tespondents? What difficulties do you expect toencounter in such an exercise? school. Who are your

(2) Indirect Oral

Investigation
Indivect oval moestigaton is the method by which infornation is obBained
not from the
collected orallypersons Teganding whom the informalion is needed. It is
from other persons who are expected to possess the
ry njormation. These other persons ae knoun as
Cxample, bythis method. the data on the economic wilnesses. Forof
the workers may be collected from conditions
the workers themselves. their employers rather than

Collection of Data 31