PURGANAN, Maria Michaella 1. Define statistics and differentiate descriptive statistics from inferential statistics. Based on my understanding, statistics can be a very complex subject that would need a more profound experience to grasp its concepts and theories correctly since it is a field or science that deals with various steps to come up with a conclusion. In statistics, we must efficiently collect, organize, present, analyze and interpret different data sets. I also learned that there are two branches of statistics: descriptive and inferential. Descriptive statistics involve collecting, organizing, summarizing, and presenting data. With this, it will be easier for individuals to understand data better. (What Is Descriptive Statistics: Definition, Type, Applications & More, 2022). On the other hand, inferential statistics consists of methods for creating predictions or inferences from the population, which was taken from a random sample. Analysts or data users may conclude and make reasonable assumptions about the trends, similarities, and differences within a population. (Inferential Statistics - Overview, Parameters, Testing Methods, 2021) 2. Discuss scales/levels of measurements of variables and give 2 examples each. According to the definitions in the discussion, the scales or levels of measurement are nominal, ordinal, interval, and ratio. Each scale differs in various ways. First, nominal scales are those variables that are simply labels or names, which tells us that these are categories without specific explicit or implicit orders. Hence, being known as the lowest level of measurement. Examples include last names, telephone numbers, marital status, etc. Ordinal scales have variables whose values have categories with an implied ordering. Ranking can also be done on the data; however, the distance between two labels can not be determined, such as the educational level and political hierarchy in a country. The interval scale would be similar to the previously mentioned; however, the values can be ordered and distanced between different labels. It is always numbered and has no true zero point. Lastly, ratio is the highest level of measurement since it contains all the properties of the three other scales. It also has a true zero point. Different examples would be annual sales, income, and more. 3. Enumerate the importance of statistics and give at least 3 applications in real life. In our society, data is everywhere, which individuals may easily access; thus, we need to learn how to utilize these types of information by understanding the concepts of statistics and applying them to real-life situations. Statistics can also have different purposes, such as predicting trends, helping in planning or decision-making, accurately interpreting data, etc. With this, we can define patterns or the numbers we encounter in our daily lives. One example of a real-life application of statistics would be the decision-making of the top management in corporations or businesses – they would use online resources and data to identify and predict different trends in our society. With this, the organization could make sound and timely decisions. Another example would be weather forecasting. Weather forecasters use probability to evaluate the likeliness of rain, snow, and more at a given time and location. Lastly, investors also use statistics when they want to determine their risk and reward ratios to decide the amount of money they will invest. In conclusion, with the technology and information we have, there are endless situations where we may use statistics to guide us in our everyday lives with different probabilities and interpretations. References Inferential Statistics - Overview, Parameters, Testing Methods. (2021, July 28). Corporate Finance Institute. Retrieved September 11, 2022, from https://corporatefinanceinstitute.com/resources/knowledge/other/inferential-statistics/ What Is Descriptive Statistics: Definition, Type, Applications & More. (2022, February 15). Simplilearn. Retrieved September 11, 2022, from https://www.simplilearn.com/what-is-descriptive-statistics-article
