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Statistics is the study of real world data and inferring them to get a meaningful result. In broader sense, it is a mathematical way of collecting, verifying, analyzing, interpreting and hence summarizing a complete set of data. Hence, it can be said that this field provides knowledge to work quantitatively on collected data. The understanding of statistics is applied in number of technical and practical fields. Economics, Business, Science, and Research are all the important fields that require knowledge of statistics for completion of the professional courses.
Studying Statistics helps individual, company, government and nation in number of ways. The statistical calculations serve an important pillar to summarize the large information in quantitative way. Hence, below are the points that reflects the reasons for studying Statistics in college and universities:
- The knowledge of Statistics helps us to conduct our research task or projects carefully and logically. It means that we can make a skilful decision by interpreting the collected data logically with the use of Statistical tool.
- Study of Statistics helps in development of critical thinking and analytical skills.
- Basic ideas on Statistics helps in proper evaluation of any information.
- To be able to read and understand articles and journals that contain statistical information, Statistical knowledge is very important.
Hence, these are few points that reflect the necessity of studying statistics in this advanced world. For sure, pursuing statistics can always be an advantage for students because it enhance our capability to skillfully present and infer any information.
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Specialization in Statistics can be done in two major areas:
1. Descriptive Statistics
Descriptive Statistics is the way to summarize and interpret the collected data so that a meaningful pattern is formed. But this area is narrowed down for making conclusion of only those information’s that we have collected or that is presented to us. Hence, applying descriptive statistics requires two types of statistical ideas: measure of spread also called graphical summary. Graphical summary uses graphical representation to analyze data. Second is the, measure of central tendency also called numerical summary. In case of numerical summary, mean, median, mode, quartile are used to analyze the given data.
2. Inferential Statistics
It is the study conducted for inferring or equating our data with the general conditions. So, this shows the difference between inferential statistics and descriptive statistics. Inferential statistics is used in the broader area of statistical study. Hence, the method used in inferential statistics is sample, testing of hypothesis, principle component analysis and regression. Explaining it further with an example: If you need to calculate the marks of 150 students of a class, knowledge of Descriptive statistics can be applied but on the other hand if you want to calculate the marks of entire students of Australia, you need to apply the knowledge of Inferential statistics in which a correct sample from a particular population is drawn to get the result.
These are two major areas in statistics. Hence, studying statistics broadens up knowledge in practical fields and thus serve as a helpful tool in taking decisions wisely.
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Important topics in statistics
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