Chapter 1: The Nature of Probability and Statistics

Learning Objectives
Upon successful completion of Chapter 1, you will have applicable knowledge of the
following concepts:

• Statistics: An Overview and Description

• Types of Variables
• Measurement Scales
• Sampling Methods or Methods to Select Subjects for Samples
• Experimental Studies

I. An Overview and Description

A. Statistics is the science of conducting studies to:
• Collect
• Organize
• Summarize
• Analyze
• Draw conclusions from data

B. Where do you use statistics?

• Sports
• Business
• Research
• Public Health

C. Why do we use statistics?

• To be able to read and understand statistical studies.
• To conduct research
• To become a better consumer and citizen.

D. Two branches of statistics:

• Descriptive statistics (Unit 1) is a collection, organization, summarization, and
presentation of data.
• Inferential statistics (Units 3 & 4) uses data to generalize from a sample to its
population, conduct hypothesis tests to determine relationships among variables, and
estimate parameters.

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 E. Basic Vocabulary Review
• A variable is a characteristic or attribute of interest that can assume different values. It
is the question asked.
• Data are the values that the variables have assumed (answers to the question).
• Data set is a collection of data values, where each value is called a data value or datum.
• The population is all subjects of interest to the study.
• The sample is a part of the population or a subgroup (subset) of the subjects from the
population.
• A parameter is a numerical summary of all data from the population. (e.g. mean of the
population𝜇).
• A statistic is a numerical of the data from the sample (e.g. mean of the sample 𝑥̅ ).

Symbols for Specific Parameters

Type Parameter Statistic
Mean 𝜇 𝑥�
Size N n
2
Variance 𝜎 𝑠2
Standard 𝜎 s
Deviation
Proportion P 𝑝�

II. Variables
A. Types of Variables
I. Qualitative – Data can be placed in distinct categories, according to some characteristic or
attribute.

Note: data is used to find the count and proportion for each category.
a) Examples:
• Hair color
• Gender
• TV ownership
• Do you own a car?
• Employment status (full time, part time, not employed)
• Social security number
• License plate number
• Computer account number

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 II. Quantitative – Data are numerical representing counts or measurements that can be
ordered and ranked.

Note: data values can be used to find the average, standard, deviations, and variance.

a) Types of Quantitative Variables:

1) Discrete – counts or data with space between its possible values. ex: shoe shize.
2) Continuous – measures or data that can assume an infinite number of values
between two endpoints. ex: foot length

b) Examples of Quantitative Variables:

• How many TV’s do you own (discrete)
• How many cars does your family own? (discrete)
• What is your salary for the year? (discrete)
• What is your weight? (continuous)
• How far do you live from campus? (continuous)
• What is your blood pressure? (continuous)

B. Exercise with Types of Variables

Directions: Identify each of the following variables as Qualitative; Quantitative, discrete; or
Quantitative, continuous. Use the chart provided below to write in your answers.

• Hair color • License plate number

• Computer password • Zip code

• Shoe size • Foot length

• Shirt size (S, M, L) • Height

• Shirt size (10, 12, 14, etc.) • Time to drive to campus

Qualitative Quantitative, Quantitative,

Discrete Continuous

*Answer key is located at the end of the document.

Dr. Janet Winter, [email protected] Stat 200 Page 3

 C. Measurement Scales for Variables
I. Types of Measurement Scales
a) Nominal – only classifies data into mutually exclusive (non-overlapping), exhausting
categories in which no order or ranking can be imposed on the data. Example: SS#

b) Ordinal – classifies data into categories that can be ranked; however, precise
differences between the ranks do not exist. Example: Shirt size (S, M, L)

c) Interval – ranks data with precise differences between the data values; however,
there is no meaningful zero. Example: Shoe size

d) Ratio – possesses all the characteristics of interval measurement and a true zero.
Example: Foot length
Note: This level of measurement is called the ratio level because the zero starting
point makes ratio meaningful.
II. Levels of Measurement Data

Level Summary Example

Nominal Categories only. Data Bear encounter states:
cannot be arranged in 5 New York Categories or names
an ordering scheme. 20 Idaho only
40 Wyoming
Ordinal Categories are ordered, Bears according to
but differences can’t be aggressiveness:
found or are 5 not aggressive An order is determined
meaningless. 20 somewhat aggressive by “not,” “somewhat,”
40 highly aggressive “highly.”
Interval Differences are Bear den temperatures:
meaningful, but there is 5° F 0°F doesn’t mean “no
no natural starting 20° F heat.” 40°F is not twice
point, and ratios are 40° F as hot as 20°F.
meaningless.
Ratio There is a natural zero Bear migration distances:
starting point and ratios 5 miles 40 miles is twice as far
are meaningful. 20 miles as 20 miles.
40 miles
(Triola & Triola, 2006)

Dr. Janet Winter, [email protected] Stat 200 Page 4

 III. Exercise 01 with Measurement Scales
Directions: Identify each of the following variables as Nominal, Ordinal, Interval or
Ratio. Use the chart provided below to write in your answers.

• Zip code • Gender

• Grade • IQ
• Eye color • SAT score
• Rating • Height
• Ranking • Temperature (F, C)
• Weight • Time

Nominal Ordinal Interval Ratio

*Answer key is located at the end of the document.

D. Exercise 02 with Measurement Scales – Transportation Table

Directions: The chart shows the number of job-related injuries for each of the
transportation industries for 1998. Refer to this chart to answer the following 5 questions.

Industry Number of injuries

Railroad 4520
Intercity 5100
Subway 6850
Trucking 7144
Airline 9950

1. What are the variables under study?

2. Classify each of the variables as Quantitative, continuous; Quantitative, discrete; or
Qualitative.
3. Identify the level of measurement for each variable.
4. The railroad is shown as the safest transportation industry. Does that mean railroads
have fewer accidents than the other industries?
5. What factors other than safety influence a person’s choice of transportation?
***Answers are located at the end of this document.

Dr. Janet Winter, [email protected] Stat 200 Page 5

III. Samples (part of the population, a subgroup or subset of the population)
A. Samples Methods (or ways to select subjects or participants)
I. Random samples – number each subject in the population; select the subjects whose
numbers match with numbers from a random number table.

II. Systematic samples – number each subject in the population; select the subject with
every kth number.

III. Stratified samples – divide the population into subgroups according to some
characteristic that is important to the study, then sample randomly from each subgroup.

IV. Cluster samples – randomly select entire intact groups called a cluster that represents
the population.

B. Why Use Samples Instead of Populations

• Saves time and money
• Experiment can include more detail
• It is effective

C. SRS (Simple Random Sample)

• Required for most statistical procedures
• If data is not collected correctly, the study is useless.
• Every possible sample of size n has the same chance of being selected.

D. Ways to Collect Data from Participants

I. Surveys – the researcher asks questions using a personal interview, telephone
interview, or written questions.

II. Observational study – the researcher observes and draws conclusions based on the
observations.

III. Experimental study –the researcher manipulates one of the variables and determines
how the manipulation influences other variables.

E. Kinds of Variables in Experimental Studies:

• Variable is the characteristic of interest or the questions asked.
• Independent or explanatory variable – are manipulated by the researcher.
• Dependent, outcome, or response variable changes because of the manipulation of
the independent variable.

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 F. Some Problems with Experimental Studies
• Hawthorne effect – the subjects know they are participating in an experiment and
change their behavior in ways that affect the results of the study.
• Confounding variable – a variable that influences the dependent or outcome variable
but cannot be separated from the independent variables (e.g., IQ, previous knowledge
or experience with dependent variable).
• Experimenter effect – the experimenter unintentionally influences the dependent
variable or outcome of the experiment.

G. Controlling Effects
• Single blind- subjects do not know if they are in the experiment or control group.
• Double blind- neither the participant nor the experimenter know who is in the
experimental or control group.
H. Errors
• Sampling error- caused by chance fluctuations; it is the difference between the sample
statistic and population parameter
• Non-sampling error- caused when sample data are incorrectly collected

IV.Some Misuses of Statistics

(Read the sections in the textbook which describe the misuses of statistics)
A. Suspect Samples
• Very small samples
• Biased samples
• Volunteer samples

B. Other Issues
• Ambiguous averages
• Detached statistics
• Implied connections
• Misleading graphics
• Faculty survey questions

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V. Computers and Calculators
• Calculators and computers simplify statistical computations and save time.

• A calculator with statistical functions is required for this class; you will not be able to do the
work in this course without it.

• The TI‐83 is strongly recommended and will be the only calculator demonstrated in class.

• If you choose to use a different calculator, you will be responsible to learn how to use it on
your own.

VI.Conclusion
• The applications of statistics are many and varied. You encounter statistics reading
newspapers or magazines, listening to the radio, or watching television.

• Statistics have improved health care, business, social science, and every aspect of life.

ANSWER KEYS TO EXERCISES

Types of Variables (or Types of Data)
*Exercise: Identify each variable as Qualitative or Quantitative
Qualitative Quantitative, Quantitative,
Discrete Continuous
Hair color Shoe size Foot length
Computer password Shirt size (10, 12, 14, etc.) Height
License plate number Time to drive to campus
Shirt size (S, M, L)
Zip code

Exercise: Measurement Scales

**Exercise: Identify each of the following variables as Nominal, Ordinal, Interval or
Ratio. Use the chart provided below to write in your answers.
Nominal Ordinal Interval Ratio
Zip code Grade IQ Height
Gender Rating SAT score Time
Eye color Ranking Temperature (F, C) Weight

Dr. Janet Winter, [email protected] Stat 200 Page 8

Exercise: Measurement Scales - Transportation Table
***Exercise: The chart shows the number of job-related injuries for each of the
transportation industries for 1998. Refer to this chart to answer the following 5
questions.

Industry Number of injuries

Railroad 4520

Intercity 5100

Subway 6850

Trucking 7144

Airline 9950

1. What are the variables under study?

Answer: Industry and Number of injuries.

2. Classify each of the variables as Quantitative, continuous; Quantitative, discrete; or Qualitative.

Answer: Industry is Qualitative. Number of injuries is Quantitative, discrete.

3. Identify the level of measurement for each variable.

Answer: Industry is Nominal. Number of injuries is Ratio.

Additional questions to consider (these were reflective questions):

4. The railroad is shown as the safest transportation industry. Does that mean railroads have
fewer accidents than the other industries?

5. What factors other than safety influence a person’s choice of transportation?

Works Cited
Triola, M.D., Marc M. and Mario F. Triola. Biostatistics for the Biologoical and Health
Sciences. New York: Pearson Education, Inc., 2006.

Dr. Janet Winter, [email protected] Stat 200 Page 9