UNIT III

Inferential Statistics
• Inferential statistics is a branch of statistics
that makes the use of various analytical tools
to draw inferences about the population data
from sample data.
• Inferential statistics help to draw conclusions
about the population
• Descriptive statistics summarizes the features
of the data set.
• There are two main types of inferential
statistics - hypothesis testing and regression
analysis.
• The goal of inferential statistics is to make
generalizations about a population.
 POPULATION
• A population is characterized by any complete
set of observation or potential observation.
• Includes all the elements from the data set.
• Measurable char. Of population – Mean, SD
are known as parameters.
• Example- All students in a college, all people
living in India.
 Types of Population
• Real Population – all potential observation are
accessible at the time of sampling.
Eg-The ages of all visitors to a park on given day.
• Finite Population – (Countable Population)
population of all individuals or objects are finite.
Eg- Employees of a company, potential consumer in a
market.
• Infinite Population – counting of units in the
population is not possible.
Eg- number of germs in the patient body.
• Existent Population – population of concrete
individuals(unit is available in solid form).
Eg- books, students.
• Hypothetical Population – not available in
solid form.
Eg- Outcome of rolling dice, Outcome of tossing
a coin.
 SAMPLES
• Any subset of observation from a population
may be characterized as a sample.
• The sample size is small relative to the
population size.
• A sample is an analytic subset of a larger
population.
• A sample should represent the population as a
whole and not reflect any bias toward a
specific attribute.
POPULATION Sample

Measurable quantity is called parameter Measurable quantity is called statistics

It is a complete set This is a subset of population

It is the true representation of opinion It has margin error and confidence

interval

Data collection is by complete Data collection is by means of Sampling

enumeration or census or sample survey.
Types of Samples
 Random Sampling
• The selection process guarantees that all
potential observations in the population have
an equal chance of being included in the
sample.
• All the eligible individuals have a chance of
selecting the sample from the whole sample
space.
• This method is more time consuming and
expensive than the non-probability sampling
method.
 Simple Random Sampling
• Every item in the population has an equal and likely
chance of being selected in the sample.
• Since the item selection entirely depends on the
chance, this method is known as “Method of chance
Selection”.
• As the sample size is large, and the item is chosen
randomly, it is known as “Representative Sampling”.
• Example:
Suppose we want to select a simple random sample of
200 students from a school. Here, we can assign a
number to every student in the school database from 1
to 500 and use a random number generator to select a
sample of 200 numbers.
 Systematic Sampling
• The items are selected from the target population by
selecting the random selection point and selecting the
other methods after a fixed sample interval.
• It is calculated by dividing the total population size by
the desired population size.
• Example:
Suppose the names of 300 students of a school are
sorted in the reverse alphabetical order. To select a
sample in a systematic sampling method, we have to
choose some 20 students by randomly selecting a
starting number, say 5. From number 5 onwards, will
select every 15th person from the sorted list. Finally,
we can end up with a sample of some students.
 Stratified Sampling
• The total population is divided into smaller
groups to complete the sampling process.
• The small group is formed based on a few
characteristics in the population.
• After separating the population into a smaller
group, the statisticians randomly select the
sample.
• Example
There are three bags (A, B and C), each with
different balls. Bag A has 50 balls, bag B has 100
balls, and bag C has 200 balls. We have to choose
a sample of balls from each bag proportionally.
Suppose 5 balls from bag A, 10 balls from bag B
and 20 balls from bag C.
 Clustered Sampling
• The cluster or group of people are formed from
the population set.
• The group has similar significatory characteristics.
• They have an equal chance of being a part of the
sample. This method uses simple random
sampling for the cluster of population.
• Example:
An educational institution has ten branches
across the country with almost the number of
students. If we want to collect some data
regarding facilities and other things, we can’t
travel to every unit to collect the required data.
Hence, we can use random sampling to select
three or four branches as clusters.
 Non-Probability Sampling

• The non-probability sampling method is

a technique in which the researcher
selects the sample based on subjective
judgment rather than the random
selection.
• In this method, not all the members of
the population have a chance to
participate in the study.
 Convenience Sampling
• In a convenience sampling method, the samples are
selected from the population directly because they are
conveniently available for the researcher.
• The samples are easy to select, and the researcher did
not choose the sample that outlines the entire
population.
• Example:
In researching customer support services in a
particular region, we ask your few customers to
complete a survey on the products after the purchase.
This is a convenient way to collect data. Still, as we only
surveyed customers taking the same product. At the
same time, the sample is not representative of all the
customers in that area.
 Consecutive Sampling
• Consecutive sampling is similar to
convenience sampling with a slight variation.
• The researcher picks a single person or a
group of people for sampling. Then the
researcher researches for a period of time to
analyze the result and move to another group
if needed.
 Quota Sampling
• In the quota sampling method, the researcher
forms a sample that involves the individuals to
represent the population based on specific
traits or qualities.
• The researcher chooses the sample subsets
that bring the useful collection of data that
generalizes the entire population.
Purposive or Judgmental Sampling
• In purposive sampling, the samples are
selected only based on the researcher’s
knowledge.
• There are the chances of obtaining highly
accurate answers with a minimum marginal
error. It is also known as judgmental sampling
or authoritative sampling.
 Snowball Sampling
• Snowball sampling is also known as a
chain-referral sampling technique.
• In this method, the samples have traits
that are difficult to find.
• So, each identified member of a
population is asked to find the other
sampling units. Those sampling units also
belong to the same targeted population.