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Variance and Standard Deviation

The document discusses variance and standard deviation as measures of how data points differ from the mean. It provides examples to calculate variance and standard deviation, which can indicate how consistent or spread out data is from the mean. A lower variance or standard deviation means data is more clustered and consistent, while a higher value indicates more variation from the mean.

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Arnold Emerson
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38 views17 pages

Variance and Standard Deviation

The document discusses variance and standard deviation as measures of how data points differ from the mean. It provides examples to calculate variance and standard deviation, which can indicate how consistent or spread out data is from the mean. A lower variance or standard deviation means data is more clustered and consistent, while a higher value indicates more variation from the mean.

Uploaded by

Arnold Emerson
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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Variance and Standard

Deviation
Variance: a measure of how data
points differ from the mean
• Data Set 1: 3, 5, 7, 10, 10
Data Set 2: 7, 7, 7, 7, 7

What is the mean and median of the above data set?

Data Set 1: mean = 7, median = 7


Data Set 2: mean = 7, median = 7

But we know that the two data sets are not identical! The
variance shows how they are different.

We want to find a way to represent these two data set


numerically.
How to Calculate?
• If we conceptualize the spread of a distribution
as the extent to which the values in the
distribution differ from the mean and from each
other, then a reasonable measure of spread
might be the average deviation, or difference, of
the values from the mean.

( x  X )
N
• Although this might seem reasonable, this expression
always equals 0, because the negative deviations about the
mean always cancel out the positive deviations about the
mean.
• We could just drop the negative signs, which is the same
mathematically as taking the absolute value, which is known
as the mean deviations.
• The concept of absolute value does not lend itself to the kind
of advanced mathematical manipulation necessary for the
development of inferential statistical formulas.
• The average of the squared deviations about the mean is
called the variance.

x  X 
2

  2 For population variance

 x  X 
2
For sample variance
s 
2

n 1
Score (
X  X)
2
X X
X

1
3
2
5
3
7
4
10
5
10
Totals
35

The mean is 35/5=7.


Score (
X  X)
2
X X
X

1
3 3-7=-4
2
5 5-7=-2
3
7 7-7=0
4
10 10-7=3
5
10 10-7=3
Totals
35
Score (
X  X)
2
X X
X

1
3 3-7=-4 16
2
5 5-7=-2 4
3
7 7-7=0 0
4
10 10-7=3 9
5
10 10-7=3 9
Totals
35 38
Score (
X  X)
2
X X
X

1
3 3-7=-4 16
2
5 5-7=-2 4
3
7 7-7=0 0
4
10 10-7=3 9
5
10 10-7=3 9
Totals
35 38
Example 2

Dive Mark Myrna


1 28 27
2 22 27
3 21 28
4 26 6
5 18 27
Find the mean, median, mode, range?

mean 23 23
median 22 27
range 10 22

What can be said about this data?

Due to the outlier, the median is more typical of overall performance.

Which diver was more consistent?


Dive Mark's Score ( X  X )2
X X
X

1 28 5 25

2 22 -1 1

3 21 -2 4

4 26 3 9

5 18 -5 25

Totals 115 0 64

Mark’s Variance = 64 / 5 = 12.8


Myrna’s Variance = 362 / 5 = 72.4

Conclusion: Mark has a lower variance therefore he is more consistent.


standard deviation - a measure of
variation of scores about the mean
• Can think of standard deviation as the average
distance to the mean, although that's not
numerically accurate, it's conceptually helpful.
All ways of saying the same thing: higher
standard deviation indicates higher spread, less
consistency, and less clustering.

x  X 
2

• sample standard deviation: s


n 1

• population standard deviation: x  


2


N
Another formula
• Definitional formula for variance for data in a
frequency distribution

S 2

 (X  X ) 2
f
f
• Definitional formula for standard deviation for
data in a frequency distribution

S
 ( X  X ) 2
f
f
The mean is 23

Myrna’s Score X f
X X ( X  X)2 ( X  X )2 x f

28 1

27 3

6 1

115 5
Myrna’s Score X f
X X ( X  X)2 ( X  X )2 x f

28 1 5

27 3 4

6 1 -17

115 5
Myrna’s Score X f
X X ( X  X)2 ( X  X )2 x f

28 1 5 25

27 3 4 16

6 1 -17 289

115 5
round-off rule – carry
one more decimal
Myrna’s Score X f ( X  X)2 ( X  X )2 x f
place than was
X X
present in the
original data

28 1 5 25 25

27 3 4 16 48

6 1 -17 289 289

115 5 362

Variance = S2 = 362 / 5 = 72.4


Standard Deviation = 72.4 = 8.5
Bell shaped curve
• empirical rule for data (68-95-99) - only applies
to a set of data having a distribution that is
approximately bell-shaped: (figure pg 220)
•  68% of all scores fall with 1 standard deviation
of the mean
•  95% of all scores fall with 2 standard deviation
of the mean
•  99.7% of all scores fall with 3 standard
deviation of the mean

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