Descriptive Statistics

Descriptive Statistics

Understanding About Statistics

Lynch (2016) introduces that in general, a clearer picture of the environment will be displayed through the study of statistics in which two core branches of descriptive and inferential statistics are categorized.

Descriptive statistics 

It refers to statistics that describe the characteristics of large amount of data or datasets (Lynch, 2016). For an easy and a convenient interpretation, the descriptive statistics are usually illustrated in statistical tools of graphs, charts, tables, or a combination of that tools.

In addition, according to the University of Alabama in Huntstville (2013), descriptive statistics refer to the term which is given to the analysis of data that helps describe, show or summarize data in a meaningful way. They are simply a way to describe the collected data. Also, descriptive statistics are very important because they are showing data in a meaningful way. This enables and gives simpler interpretation of the data (Laerd statistics, 2013). 

In the important notes of how statistics can be misused, Lynch (2016, p.11) provides a list of examples of misuse of statistics such as inappropriate measurement of central tendency and dispersion, cause-effect relationship and correlation, sampling error, misleading comparison, and poor or misleading visual presentation.

Reference

Lynch, P. (2016). Financial Statistics (5th Edition). NSW Australia: Better Teams Publications

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