Author: Gonick L.   Smith W.  

Tags: higher mathematics   statistics  

ISBN: 0-06-273102-5

Year: 1993

Text
                    LARRY GONICK
Author of The Cartoon History of the Universe
& WOOLLCOTT SMITI

Also by Larry Gonick The Cartoon History of the Universe The Cartoon Guide to Physics (with Art Huffman) The Cartoon Guide to the Computer The Cartoon Guide to Genetics (with Mark Wheelis) The Cartoon History of the United States The Cartoon Guide to (Non) Communication
THE CARTOON GUIDE TO < VM... VIELI... It’S TwEy’gE-. I ^EM' "'ТСООбЛ-Л LARRY GONICK & WOOLLCOTT SMITH Ым Mi HarperPerennial A Division of HarperColIinsP^W/sAen
the cartoon guide to statistics. Copyright ©1993 by Larry Gonick and Woollcott Smith. All rights reserved. Printed in the United States of America. No part of this book may be used or reproduced in any manner whatsoever without written permission except in the case of brief quotations embodied in critical articles and reviews. For information address HarperCollins Publishers, Inc., 10 East 53rd Street, New York, NY 10022. HarperCollins books may be purchased for educational, business, or sales promotional use. For information please write: Special Markets Department, HarperCollins Publishers, Inc., 10 East 53rd Street, New York, NY 10022. FIRST HARPERPERENNIAL EDITION Illustrations by Larry Gonick Library of Congress Cataloging-in-Publication Data Gonick, Larry. The cartoon guide to statistics / Larry Gonick & Woollcott Smith —1st HarperPerennial ed. p. cm. Includes bibliographical references and index ISBN 0-06-273102-5 (pbk.) 1. Statistics—Caricatures and cartoons. I. Smith, Woollcott, 1941- 11. Title. QA276.12.G67 1993 519.5—dc20 92-54683 97 LG/RRD 20 19 18 17 16
♦CONTENTS* CHAPTER 1---------------------------------------------------1 WHAT IS STATISTICS? CHAPTER 2---------------------------------------------------7 PATA PESCRIPTION CHAPTER 3---------------------------------------------------27 PROBABILITY CHAPTER 4---------------------------------------------------43 RANPOM VARIABLES CHAPTER 5---------------------------------------------------73 A TALE OF TWO PISTRIBUTIOMS CHAPTER 6---------------------------------------------------09 SAMPLING CHAPTER 7---------------------------------------------------111 CONFIPENCE INTERVALS CHAPTER 0 --------------------------------------------------137 HyPOTHESlS TESTING CHAPTER 9 --------------------------------------------------107 COMPARING TWO POPULATIONS CHAPTER IP--------------------------------------------------101 EXPERIMENTAL PESIGN CHAPTER 11--------------------------------------------------107 REGRESSION CHAPTER П------------------------------------------------211 CONCLUSION BIBLIOGRAPHY---------------------------------------------221 INPEX ----------------------------------------------------224

Acknowledgments WE WOULP LIKE TO THANK CAROL COMEM AT HARPERCOLLINS FOR SUGGESTING THIS PROJECT, OUR EPITOR ERICA SPABERG FOR PATIENTLY EN PURI NG THE LAST-MINUTE PASH TO THE PEAPLINE, ANP VICKY BIJUR, OUR LITERARY AGENT, FOR INITIATING THE GONICK/SMlTH COLLABORATION BY INTROPUC- ING THE COAUTHORS. WILLIAM FAIRLEY’S ANP LEAH SMITH'S COMMENTS IMPROVEP EARLIER PRAFTS OF THIS BOOK. PONNA OKINO PROVIPEP INVALUABLE ASSISTANCE AMP APVICE IN PROPUClNG THE CARTOON PAGES. SHE SAYS THAT CREATING A CARTOON GUIPE IS HARPER THAN RUNNING A MARATHON, ANP SHE SHOULP KNOWi SHE’S PONE BOTH. THE ALTSYS CORPORATION CREATEP FONTOGRAPHER, THE WONPERFUL SOFTWARE THAT ALLOWEP US TO SIMULATE HANP-LETTEREP TEXT ANP FORMULAS ON THE MACINTOSH. anp, since epucation is always a two-way street, a tip OF THE HAT TO SMITH’S LONG-SUFFERING TEMPLE UNIVERSITY STUPENTS ANP ESPECIALLY THE FALL ’92 STUPY GROUP ORGANIZEP BY APRIANA TORRES. THE FUTURE IS THEIRS.

♦ Chapter 1 ♦ WHAT IS STATISTICS? WE MUPPLG THROUGH LIFE MAKING (MO\C&> BASEP ON INCOMPLETE INFORMATION... SHOULP I PAVE THE SOUP? EVERYTHING ELSE \5 50 EXPENSIVE, ANP I PONT KNOW WHO’S PAYING- ARE STATISTICIANS 5TIN6Y? I’VE NEVER GONE OUT WITH ONE BEFORE... THOUGH I ONCE KNEW А VERY GENEROUS ACCOUNTANT... SHOULP I HAVE THE SOUP? 27 OUT OF THE 36 TIMES I’VE HAP IT, IT WAS PRETTY GOOP... BUT IS MONPAY THE REGULAR CHEF’S NIGHT OFF? ANP WHAT IF ALL THE MR MOLECULES IN THE ROOM SUPPENLY FLY UP TO THE CEILING? 0 О О UlV1 О 1
WHAT MAKE5 STATISTICS UNIQUE IS ITS ABILITY TO QUANTIFY UNCERTAINTY, TO MAKE IT PRECISE. THIS ALLOWS STATISTICIANS TO MAKE CATEGORICAL 5TATEMEMT5, WITH COMPLETE ASSURANCE—ABOUT THEIR LEVEL OF UNCERTAINTY' 6OOP CHOICE.' I’M 95% л CONFIDENT THAT TONIGHT'S SOUP HAS PROBABILITY BETWEEN 73% ANP 77% OF BE IN G REALLY PELICIOU5! y 2
THIS IS NOT JUST A MATTER OR ORPERIN6 SOUP! STATISTICS ALSO INVOLVES MATTERS OF LIFE ANP PEATH... FOR EXAMPLE, IN 1906, THE SPACE SHUTTLE CUALLEN6ER EXPLOPEP, KILLING- SEVEN ASTRONAUTS. THE PEClSION TO LAUNCH IN 29-PEG-REE WEATHER HAP BEEN MAPE WITHOUT POIN6 A SIMPLE ANALYSIS OF PERFORMANCE PATA AT LOW TEMPERATURE. oh.ThAT WT Of THE Cufcvs III A MORE POSITIVE EXAMPLE IS THE ШАГ POLIO VALINE- IN 1954, VACCINE TRIALS WERE PERFORMEP ON SOME APO,POO CHILPREN, WITH STRICT CONTROLS TO ELIMINATE BIASEP RESULTS. 6OOP STATISTICAL ANALYSIS OF THE RESULTS FIRMLY ESTABLISHEP THE VACCINE'S EFFECTIVENESS, ANP ТОРАУ POLIO IS ALMOST UNKNOWN. 3
ТО ACCOMPLISH THEIR FEATS OF MATHEMATICAL LE6ERPEMAIN, STATISTICIANS RELY ON THREE RELATEP PISCIPLINES; Data analysis THE 6ATHERIN& PISPLAY, ANP SUMMARY OF PATA-, Probability THE LAWS OF CHANCE, IN ANP OUT OF THE CASINO; Statistical inference THE SCIENCE OF PRAWIN& STATISTICAL CONCLUSIONS FROM SPECIFIC PATA, USINE A KNOWLEP6E OF PROBABILITY. IN THIS BOOK, WE’LL LOOK AT ALL THREE, AS APPLIEP TO A WIPE VARIETY OF SITUATIONS WHERE STATISTICS PLAYS A CRUCIAL ROLE IN THE MOPERN WORLP. 4
IN CHAPTER 2, WE’LL LOOK AT A SIMPLE FATA SET, THE REPORTEP WEIGHTS OF A BUNCH OF COLLEGE STUPENTS. IN CHAPTER 3, WE STUPY THE LAWS OF PROBABILITY IN THEIR BIRTHPLACE, THE 6-AMBLIN6 PEN. CHAPTERS 4 ANP 4 SHOW HOW TO PESCRIBE THE WORLP WITH PROBABILITY MOPCL4, USIN6 THE CONCEPT OF THE RAHPOM VARIABLE CHAPTER b INTROPUCES ONE OF THE STATISTICIAN’S ESSENTIAL PRO- CEPURES, TAKING SAMPLE'S OF A LAR6E POPULATION. IN CHAPTER 7 ANP BEYONP, WE PESCRIBE HOW TO MAKE STATISTICAL INFERENCES IN SUCH COMMON REAL- WORLP ARENAS AS ELECTION POLL INC, MNUFACTURIN6 QUALITY CONTROL, MEPICAL TEfTINC, ENVIRONMENTAL MONITORINC, RACIAL BIA4, ANP THE LAW. 5
FlNALLy, IN PI6GU66ING- 6TATI6TIG6, IT’6 HARP TO AVOIP MENTIONING- ONE OTHER THING--- THE WIPE6PREAP MISTRUST OF 6TATI6TIG6 IN THE WORLP ТОРАУ. EVERyONE KNOW6 ABOUT "LyiN6 WITH 6TATI6TIG6," WHILE 6OOP 6TATI6TIGAL ANALy6l6 16 NEARLy IMPO66IBLE TO FINP IN РАНУ LIFE. WHAT'6 ONE TO PO? OUR HUMBLE OPINION 16 THAT LEARNING A LITTLE MORE ABOUT THE SUBJECT MI6HT NOT BE 6UGH A BAP IPEA- ANP THAT6 WHy WE WROTE THI6 BOOK/ IN WHAT FOLLOW6, WE TRy TO PRE6ENT THE ELEMENT6 OF 6TATI5TIG6 A6 G-RAPHlGALLy ANP iNTUlTIVELy A6 PO66IBLE. ALL yoU NEEP TO G-ET THROUGH IT 16 A LITTLE PATI£MO£, THOUGHT, ANP A CERTAIN TOLERANGE FOR AL6EBRA-OR. IF NOT THAT, THEN МАУВЕ A COURSE REQUIREMENT!!
♦ CHAPTER 2< DATA DESCRIPTION < UM... vlBLl... tfs TuEy’gE- « "Тсооб^.-) 7
РАТА ARE THE STATISTICIANS RAW MATERIAL, THE NUMBERS WE USE TO INTERPRET REALITY. ALL STATISTICAL PROBLEMS INVOLVE EITHER THE tOLL&TION, PESCRIPTlON, ANP ANALYSIS OF PATA, OR ТШЫК1Ы6 ABOUT THE COLLECTION, PESCRIPTlON, ANP ANALYSIS OF PATA. THIS CHAPTER CONCENTRATES ON PATA Р&ОИРТЮН. HOW CAN WE REPRESENT PATA IN USEFUL WAYS’ HOW CAN WE SEE UNPERLYIN6- PATTERNS IN A HEAP OF NAKEP NUMBERS? HOW CAN WE SUMMARIZE THE PATA’S BASIC SHAPE? WELL, TO PESCRIBE PATA, THE FIRST THINE- YOU NEEP IS SOME ACTUAL PATA TO PESCRIBE... SO LET’S COLLECT SOME PATA.'
HERE & КЖ. REAL РАТА: A* PART OF A £LA**ROOM EXPERIMENT, 92 PENN STATE *TUPENT* REPORTEP THEIR WEI6-HT, WITH THESE RESULTS: FORWT THE S<Au6, SMITH- JuST TAKE ЛАУ WORD IT.. >4- MALES 140 145 160 190 155 165 150 190 195 170 157 130 105 190 155 170 155 215 130 155 150 140 155 150 140 100 190 FEMALES 140 120 130 130 121 125 116 145 150 112 125 130 120 130 131 120 110 125 135 125 110 122 115 102 115 150 110 116 100 95 125 133 110 150 100 160 155 153 145 170 175 175 170 100 135 145 155 155 150 155 150 100 160 135 160 150 164 140 142 136 123 155 6ETTIN6 RI6HT POWN TO BUSINESS, WE PRAW A POT PLOT: ONE POT PER STUDENT 6OES OVER EAZH STUDENT’S REPORTEP WEIGHT. I 1 Г I--1--1 I r '"‘T I I I I I I 100 150 200 Weight in Pounds YOU МАУ SEE A PROBLEM HERE: THE SLUMPS AT 1*0 ANP 75F POUNDS. THE STUDENTS TENDED TO REPORT THEIR WEIGHT IN FIVE-POUMP IMCREMEHT4. IN REAL-LIFE SITUATIONS LIKE THIS ONE, SU£H ROUNDIN6- OFF £AN OBSCURE GENERAL PATTERN* IN DATA... BUT FOR NOW, WE'LL JUST WORK AROUNP IT. 9
' WE CAN SUMMARIZE THE PATA WITH A FREQUENCY TABLE. PIVIPE THE NUMBER LINE INTO INTERVALS ANP COUNT THE NUMBER OF STUPENT WEISHTS WITHIN EACH INTERVAL THE FREQUENCY IS THE COUNT IN AN У SIVEN INTERVAL THE RELATIVE FREQUENCY IS THE PROPORTION OF WEISHTS IN EACH INTERVAL I.E., IT’S THE FREQUENCY PIVIPEP BY THE TOTAL NUMBER OF STUPENTS. CLASS INTERVAL MIPPOINT FREQUENCY RELATIVE FREQUENCY 07.5-102.4 95 2 .022 102.5-117.5 110 9 090 117.5-132.4 125 19 .20b 132.5-147.4 140 17 105 147.5-162.4 155 27 .293 162.5-177.4 170 0 .007 177.5-192.4 105 0 .007 192.5-207.5 200 1 .011 2075-222.4 215 1 .011 TOTAL 92 1.000 NOTE: WE KEPT THE INTERVAL BOUNPARIES AWAY FROM THOSE TROUBLESOME 5-POUNP MULTIPLES. THIS SETS AROUNP THE STUPENTS’ REPORTINS BIAS- SUlPELlNES FOR FORMINS THE CLASS INTERVALS: | USE INTERVALS OF I EQUAL LENSTH WITH MIPPOINTS AT CONVENIENT ROUNP NUMBERS. О | FOR A SMALL PATA * SET, USE A SMALL NUMBER OF INTERVALS. FOR A LARSE PATA 9 SET, USE MORE INTERVALS.' IS 92 LARSE OR SMALL? I’M 90% SURE IT’S SORT OF LARSE... 10
IN TME FREQUEN6V TABLE, WE ARE *M0WIN6 MOW MANY PATA POINT* ARE “AROUNP” EMM VALUE. WE 6AN 6-RAPM TMI* INFORMATION, TOO. TME RE5ULTIN6- BAR 6-RAPM I* 6ALLEP A W4TO6RAM. EMM BAR 6OVER* AN INTERVAL ANP I* 6ENTEREP AT TME MlPPOINT. TME BAR’* MEI6-MT I* TME NUMBER OF PATA POINT* IN TME INTERVAL WE 6AN AL*O PRAW A RELATIVE FREQUENCY M4TO6RAM, PLOTTING TME RELATIVE FREQUENT A6AIN*T TME WEI6-MT. IT LOOK* EXA6TLV TME *AME, EXCEPT FOR TME VERTICAL *6ALE. Weight in Pounds 11
THE STATISTICIAN JOW TUKEY INVENTED A QUICK WAY TO SUMMARIZE PATA ANP STILL KEEP THE INPIVIPUAL PATA POINTS. ifS CALLER THE 5TGM-AMP-LEAF PIAGRAM. FOR THE WEIGHT PATA, THE STEM IS A COLUMN OF NUMBERS, CONSISTING OF THE WEIGHT PATA COUNTER ВУ TENS Cl-E., WE LEAVE OFF THE LAST PIGIT9. NOW APR THE FINAL PIGIT OF EACH WEIGHT IN THE APPROPRIATE ROW: FILLER IN, IT LOOKS LIKE THIS: 9 : 5 IP : 200 11 : 620055P6P 12 : P1553PP5525 13 : 05PP05P6PP153 14 : P55P550P5P2 15 : 5P537P55P55P5P5P5PP5PP 16 : P5PPP4 17 P55PPP 10 •- P5PP 19 -- 00500 10: 21 : 5 ANP FINALLY, PUT THE ‘LEAVES’ IN OR PER. 9 : 5 IP : 200 11 : PP2556600 12 : PPP12355555 13 . PPPPP13555600 14 : PPPP2555550 15 : PPPPPPPPPP355555555557 VP’j 16 : PPPP45 /y\ 17 •• PPPP55 /. j | A 10 : 0005 6* ( ' | J 19 : PPPP5 2P: \ |j 21 : 5 ALL THOSE ZEROES ANP FIVES CLEARLY SHOW THE STUPENTS' REPORTING BIAS! 12
CRUSAPIKG KURSE FLORENCE NIGHTINGALE COMPILER MORTALITY 4TATI4TIG4 FROM BRITISH MILITARY HOSPITALS, PRODUCING SHOCKING HISTOGRAMS LIKE THIS ONE: THE RAPlAL AXIS INDICATES PEATHS—IN HOSPITALS AS WELL AS ON THE BATTLEFlELP- Cr BRITISH SOLPIERS IK THE CRIMEAN WAR. HER STATISTICAL EFFORTS L£P PIRECTLY TO IMPROVED HOSPITAL ey^ Statistics.’ 0
SUMMARY STATISTICS NOW WE MOVE FROM PICTURES TO FORMULAS. OUR OBJECT IS TO &£T SOME SIMPLE MEASUREMENTS OF THE ^RUPEST ^MARAGTERISTI^S OF A SET OF PATA.... ANV SET OF MEASUREMENTS HAS TWO IMPORTANT PROPERTIES-- TME CENTRAL OR TYPICAL VALUE, ANP TME 4PREAP ABOUT THAT VALUE. VOU 6AN SEE TME IPEA IN THESE MyPOTM£TJ4AL HISTOGRAMS. VJIDE raUTER WE 6AN GO A LONG WAV WITH A LITTLE NOTATION. SUPPOSE WE’RE MAKING A SERIES OF OBSERVATIONS... n OF THEM, TO BE ЕХАГЕ, THEN WE WRITE AS THE VALUES WE OBSERVE. THUS, n IS THE TOTAL NUMBER OF PATA POINTS, ANP <SAy? IS THE VALUE OF THE FOURTH PATA POINT. AN ARRAY IS A TABLE OF PATA: OBSERVATION 1 2 3 4 .... n PATA VALUE л;, .... Xn. 14
A SMALL SET OF z? PATA POINTS MAKES THE BOOKKEEPING EASX SUPPOSE, FOR EXAMPLE, WE ASK FIVE PEOPLE MOW MANX HOURS OF TELEVISION ТМЕУ WAIZM IN A WEEK... ANP GET TME FOLLOWING ARRAV: OBSERVATION 1 2 3 4 5 PATA VALUE 5 7 3 30 7 THEN ;Zt = 3, %г » 7, • 3, = 30, ANP -- 7- VHWVb TME ZENTER” OF THESE PATA? THERE ARE A^TUALLV SEVERAL PIFFERENT WAVS TO MEASURE IT. WE’LL LOOK AT JUST TWO OF THEM. MEAN COR “AVERAGE"? TME_/<£4A/ OR AVERAGE VALUE IS REPRESENTEP ВУ X.. IT’S OBTAINEP ВУ APPING ALL TME PATA ANP PIVIPING ВУ TME NUMBER OF OBSERVATIONS: - SUM OF PATA * = ------n----- %, + П for our example, S + 7 + 3 + 30 + 7 bO * - ----------" — 12 HOURS 15
FOR THE SUM X| +X2 + ... +%лг WE WRITE WE HAVE A 5 H ORTH AMP FOR THAT X, + X2 + ... + %n WIN6 THE 6REEK CAPITAL LETTER $/A*U, FOR SUMMATION: t'<Z n- И TEN TIME* / Amp you'L-L & MEVER EOB6ET П AMP REAP IT A5 ‘THE 5UM OF X/ A5 i GOES FROM 1 TO Л." 50... TO REPEAT, THE AVERAGE, OR ME AM, OF A SET OF PATA X/ 15 OR i ~ / П IN THE £A5E OF OUR 92 PENN 5TATE 5TUPENT5, THE MEAN WEIGHT 15 9г 145.15 PoUNt* 1fe
AJ& Е I А. 1^1 ANOTHER KINP OF CENTER: THE THE W К IMI W “MlPPOINT” OF THE PATA, LIKE THE "MEPIAN STRIP" IN A ROAP. TO ANP THE MEPIAN VALUE OF A PATA SET, WE ARRANGE THE PATA IN ORPER FROM SMALLEST TO LARGEST. THE MEPIAN IS THE VALUE IN THE MIPPLE. 9 7 THE MEPIAN 7 36 IF THE NUMBER OF POINTS IS ГИСА/—IN WHI^H £ASE THERE IS NO MIPPLE. WE AVERAGE THE TWO VALUES AROUNP THE MIPPLE... SO IF THE PATA ARE 3 WE AVERAGE S ANP 7 TO 6БТ 2 MIPPLE SPA^E THIS OIVES US A GENERAL RULE-- ORPER THE PATA FROM SMALLEST TO LARGEST. IF THE NUMBER OF PATA POINTS IS OPP, THE MEPIAN IS THE MIPPLE PATA POINT. IF THE NUMBER OF POINTS IS PVPM THE MEPIAN IS THE AVERAGE OF THE TWO PATA POINTS NEAREST THE MIPPLE. 17
FOR TME 7? =92 STUPENT WEIGHTS, WE OAKJ FINP TME MEPIAN FROM TME ORPEREP STEM-ANP-LEAF PIA6RAM; JUST COUNT TO TME 46™ OBSERVATION. TME MEPIAN IS ^46 + ^47 + 149 2'2 -14S POUNPS 9: 5 IP : 200 11 : PP2556600 12 : PPP12355555 13 : PPPPP13555600 14 : PPPP2555 99 0 15 : PPPPPPPPPP355555555557 16 = PPPP45 17 : PPPP55 10 ; PPP5 19 : PPPP5 20: 21 : 5 WHY MORE THAN ONE MEASURE OF TME CENTER? EACH MAS APVANTA6ES. FOR EXAMPLE, TME MEPIAN IS NOT SENSITIVE TO OUTLIERS, OR EXTREME VALUES NOT TYPICAL OF TME REST OF TME PATA. SUPPOSE IN OUR SMALL TV- WATCHING GROUP, ONE PERSON WATCHES 200 HOURS PER WEEK. THEN OUR PATA ARE 3, 5, 7, 7, 200. TME MEPIAN, 7, IS UNCMAN^EP, BUT TME MEAN IS NOW % ~ 45-0! UV ueifrUT, TOO’ MV VoO'RE 1/19TO(2W W MEM IN 1904 TME UNIVERSITY OF VIRGINIA ANNOUNCEP TMAT ITS PEPARTMENT OF RHETORIC ANP COM- MUNICATIONS 6-RAPUATES’ /<£4А/ STARTING SALARY WAS #9,000. TME OUTLIER, TME SALARY OF N.B.A. CENTER RALPH SAMPSON, PIP NOT REPRESENT TME EARNING POWER OF A BA IN SPEECH FROM U. OF V. СГМЕ MEPIAN SALARY WASN’T PUBLlSMEPJ IB
MEASURES OF BESlPES KNOWING THE CENTRAL POINT OF A PATA SET, WE’P ALSO LIKE TO PESCRIBE THE PATA’S SPREAD, OR MOW FAR FROM THE CENTER THE PATA TENP TO RANGE- FOR INSTANCE, IF THE STUPENTS ALL WEIGMEP EXACTLY 145 POUNP5, THERE WOULP BE NO SPREAP AT ALL. NUMERICALLY, THE SPREAP WOULP BE ZERO, ANP THE HISTOGRAM WOULP BE SKINNY. HI.' WE’RE IPEKITICAL.' BUT IF MANY OF THE STUPENTS WERE VERY LIGHT ANP/OR VERY HEAVY, OBVIOUSLY WE’P SEE SOME SPREAP-SAY, IF THE FOOTBALL TEAM VIA* PART OF THE SAMPLE... THE HISTOGRAM WOULP BE WIPER, SOMETHING LIKE THIS-. 19
ГД6А1Ы, THERE’S MORE THAN ONE WAV TO MEASURE A SPREAP. ONE WAV IS INTERQUARTILE RANGE THE IPEA IS TO PIVIPE THE PATA INTO FOUR EQUAL GROUPS ANP SEE HOW FAR APART THE EXTREME GROUPS ARE. HERE’S THE RECIPE: f I PUT THE PATA IN NUMERICAL " ORPER. * PIVIPE THE PATA INTO TWO EQUAL HI6H ANP LOW GROUPS AT THE MEPIAN. (IF THE MEPIAN IS A PATA POINT, IN£LUPE IT IN BOTH THE HI6-H ANP LOW GROUPS.? FlNP THE MEPIAN OF THE LOW 6ROUP. THIS IS aLLEP THE FIRST QUARTILE, OR Qi- 41 THE MEPIAN OF THE НЮН * ORO UP IS THE THIRP QUARTILE, OR Q3. Q or • О ' MfPIAM OF 1 lows NOW THE INTERQUARTILE RANOE (IQR? IS THE PISTAN^E (OR PIFFEREN^E) BETWEEN THEM: IQR * Q3 — Qj 20
HERE’S THE WEIGHT PATA WITH THE MIPP0INT5 OF THE HI6H ANP LOW GROUPS EMPHA5IZEP: 9: 5 IO: 200 И : 00255ЫЛ9 * 12: 00012555995 13 : 0000015555600 И : 00002555550 15: 00000000005555555555 97 16 : ООООА5 “Ъ 17 : 000055 1 10 : 0005 19 •• 00005 20: 21: 5 JOHN TUKEY INVENTEP ANOTHER KlNP OF PISPLAY TO SHOW OFF THE IQR, CALLEP A FOX /WP WHltKERt PLOT. THE BOX’S ENP5 ARE THE QUARTILES Qt ANP Q3. WE PRAW THE MEPIAN INSIPE THE BOX. ”T-----1 “1 I " I 1 т ~~ 1X0 rto I4C «4*9 (50 iw IF A POINT 15 MORE THAN 1.5 IQR FROM AN ENP OF THE BOX, IT’5 AN OUTLIER. PRAW THE OUTLIERS INPIVIPUALLX ANP WE SEE THAT IQR = 156 - 125 = 31 POUNP6 —<----1 ------------------- КГ >55 • • • 200 A6-AIN, THIS 15 THE PIFFERENCE BETWEEN THE MEPIAN HEAVY 5TVPENT ANP MEPIAN LI6HT ONE FINALLY, EXTENP "WHISKERS" OUT TO THE FARTHEST POINTS THAT ARE NOT OUTLIERS O.E., WITHIN 1.5 IQR OF THE QUARTILES?. BOX-ANP- WHI5KER5 PLOTS ARE ESPECIALLY 6OOP FOR SHOWING OFF PIFFERENCE5 BETWEEN GROUPS.
THE STANDARD MEASURE OF SPREAD IS THE STANDARD DEVIATION UNLIKE THE IQR, WHI6H 15 BASED ON MEDIANS, THE STANDARD DEVIATION MEASURES THE SPREAD FROM THE MEAN. YOU 6AN THINK OF IT, ROUGHLY 5PEAKIN6., A5 THE AVERAGE DISTANCE OF THE DATA FROM THE MEAN %- EXCEPT THAT WE U5E THE SQUARES OF THE_DI5TAN^E5 ]N5TEAD. THAT 15, IF THE SQUARED DISTANCE OF POINT %, TO X 15 (% - %)2 THEN n AVERAGE SQUARED DISTANCE - i~1 FOR TE^HNI^AL REASONS, WE U5E Л-1 IN THE DENOMINATOR RATHER THAN n, ANP DEFINE THE SAMPLE VARIANCE 52 A5 i~1 FOR THE DATA 5ET {3 5 7 7 30}, WITH X = 12 AND n = 5 WE CALCULATE THE VARIANCE: THE DATA... ^2 _ <3-12)2 + <5-12}2 + О-12)2 + <7-12)2 + <30-12)2 (9-1) 01 + 49 +• 25 4- 25 + 676 4 = 214 THE LAR6E > VARIANCE HERE REFLECTS THE WIDE SPREAD IN 22
BUT A 5PREAP MEA5URE 5HOULP HAVE THE 5AME UMIT4 A5 THE ORIGINAL PATA. IN THE EXAMPLE OF WEI6-WT5, THE VARIANCE & 15 MEA5UREP IN POUNP5 6QUAREP... OOOP51 THE OBVIOU5 THIN6. TO PO 15 TO TAKE THE 5OUARE ROOT, ANP 50 WE PO... TO PEFINE-. 5TAMPARP NATION i~1 WHICH, FOR OUR 5IMPLE PATA 5ET, 15 5 • >/214 =14.63 EVEN FOR 5MALL PATA 5ET5, THE ARITHMETIC CAN BE TEPIOU5! 50 NOWAPAY5, WE JU5T HIT THE 5 BUTTON ON THE HANP CALCULATOR, OR C0N5ULT THE PATA REPORT 6-ENERATEP ВУ A COMPUTER 50FTWARE PACKAGE. 25
THE MEAN ANP STANPARP PEVIATION ARE VERY GOOV FOR SUMMARIZING THE PROPERTIES OF FAIRLY 5УЛИГ7ЖЛ/. /7/5TOGRAM5 without outliers—ie., HISTOGRAMS SHAPEP LIKE MOUNPS. IT'S OFTEN USEFUL TO KNOW HOW MANY STANPARP PEVIATIONS A PATA POINT IS FROM THE MEAN. WE PEFlNE Z-SCORES, OR STANPARPIZEP SCORES, AS PISTAN^E FROM % PER STANPARP PEVIATION. •. zz —4------- FOR EAAH l. i 5 A Z-S^ORE OF +2 MEANS THAT AN OBSERVATION IS TWO STANPARP PEVIATIONS ABOVE THE MEAN. FOR THE WEIGHT PATA OS=14£2ANP S-23.7), WE AAN PLOT THE PATA ON THE ORIGINAL %-AX IS IN POUNPS ANP THE z-SZORE AXIS SIMULTANEOUSLY. 175 . : : . . s | j . . . i • r—:;sf“s r*"1?*'• -i '-i s i i • i-1-1 100 150 200 -2-10 1 2 Z score 1.26 A STUPENT WEIGHING 175 POUNPS HAS A Z-S60RE OF ^M.2b at
an EMPIRICAL RULE FOR NEARLY SYMMETRIC MOUNP-SHAPEP PATA SETS, APPROXIMATELY 60% Of THE PATA IS WITHIN OA/f STANPARP PEVIATION OF THE MEAN ANP 90% Of TME PATA IS WITHIN TWO STANPARP PEVIATIONS OF TME MEAN. FOR THE WEIGHTS, OUR EMPIRICAL RULE HOLPS UP PRETTY WELL: 64% (-59/92) Of THE WEIGHTS ARE WITHIN ONE STANPARP PEVIATION OF THE MEAN, ANP ₽7% 6= 99/92? OF THE WEIGHTS ARE WITHIN TWO STAN PARP PEVIATIONS OF THE MEAN. Weight in pounds 150 59 points 89 points 92 points Z score ANP NOW FOR A REST FROM NUMBER CRUNCHING/ Cute Lil OUTLIER
WE’VE £OME A LON£ WAV IN THIS CHAPTER' STARTING WITH A UN0R6ANIZEP PILE OF NUMBERS, WE HAVE'- — | FOUNP SEVERAL DIFFERENT 1 < WAVS TO PlSPLAy THEM LOOKUP AT TWO DIFFERENT 2) 6ONZEPT* OF THE CENTER OF PATA, THE MEPIAN ANP THE MEAN 3| MEASUREP THE SPREAP OF THE w>< PATA AROUNP THE CENTER IN TWO PIFFERENT WAVS ENCOUNTEREP MOUNP-SHAPEP 4) HISTOGRAMS ANP Z, A VARIABLE THAT IN PIRATES HOW MANy STAN PARP PEVIATIONS YOU ARE FROM THE MEAN. 4_____________________________________________________> NOW, IN ORPER TO PROBE THE BEHAVIOR OF PATA MORE PEEPLX WE’RE GOING TO MAKE A LITTLE PETOUR INTO THE REALM OF RAUPOMHE66... A LANP WHERE THINGS ALWAYS WORK OUT IN THE LON6 RUN, ANP WHERE THE ONLy LAW I* THE LAW OF THE 6АЮЦМ6 £АЯМО...
♦ Chapter 3< PROBABILITY тАП OTHIN6 IN LIFE IS CERTAIN. IN EVERYTHING WE PO, WE A к \ THE 0F M&ML OUTCOMES, FROM BUSINESS TO MEPIONE TO THE WEATHER. BUT FOR MOST OF HUMAN HISTORY, PROBABILITY, THE FORMAL STUPY OF THE 27
Г NOBOPY KNOWS WHEN £AMBLIN£ BE6-AN. IT 6OES BACK AT LEAST AS FAR AS ANCIENT Б6УРТ. WHERE SPORTING MEN ANP WOMEN USEP FOUR SIPEP “A*TRA6ALI" MAPE FROM ANIMAL HEELBONES. THE ROMAN EMPEROR CLAUPW* (W BCE-54 CE) WROTE THE FIRST KNOWN TREATISE ON 6-AMBLIN^. UNFORTUNATELY, THIS BOOK, *HOW TO WIN AT PICE,” WAS LOST. MOPERN PICE 64?EW POPULAR IN THE MIPPLE A6ES, IN TIME FOR A RENAIS- SANCE RAKE, THE CHEVALIER PE &ERE, TO POSE A MATHEMATICAL PUZZLER: WHAT’S LIKELIER: ROLLING AT LEAST ONE s/x in Four throw* of A *INCLE PIE, OR ROLLING AT LEAST ONE POUBLE *!X IN 24 THROW* OF A PAIR OF PICE? ZB
THE CHEVALIER REASONEP THAT THE AVERAGE NUMBER OF SUCCESSFUL ROLLS WAS THE SAME FOR BOTH GAMBLES'. CHANC8 OF OHB SlX -- g NUMBER FOUR ROLLS-. <|- CHAH^b OF ROUBLE A SIX IN 0NF ROLL- AVERAGE NUMBER IN « 14 ROUS--24-= 3 WHy, THEN, PIP HE LOSE MORE OFTEM WITH THE SECONP GAMBLE??? PE MERE PUT THE QUESTION TO HIS FRIENP, THE 6-ENlUS BLAISE PASCAL <1623-1666). AT LAST) A PRoBLFM That turns oh! ALTHOUGH PASCAL HAP EARLIER 6-IVEN UP MATHEMATICS AS A FORM OF SEXUAL INPUL6ENCE 69, HE A6-REEP TO TACKLE PE MERE’S PROBLEM. PASCAL WROTE HIS FELLOW 6ENIUS PIERRE PE FERMAT, ANP WITHIN A FEW LETTERS, THE TWO HAP WORKER OUT THE THEORy OF PROBABILITY IN ITS MOPERN FORM—EXCEPT, OF COURSE, FOR THE CARTOONS. WORT WECOULJ> havg, leoHL-v ОЦ& OF 11* y^ULPVRAVb-" LI
BASIC DEFINITIONS A6 OUR GAMBLER РЕАУ6 A 6AME, WE PLAY 56IENTI5T, OBSERVING THE OUTCOME: a random experiment 15 THE PROCESS OF OBSERVING THE OUTCOME OF A CHANGE EVENT. the elementary outcomes are all POS- SIBLE RESULTS OF THE RANPOM EX- PERIMENT. the sample space 15 THE SET OR COLLECTION OF ALL THE ELEMENTARy OUTCOMES. VJUAT \ GAME9 \ vice 7 1 лемм-ге. < Feri j H-et's FLIP A CoitV IF THE EVENT WA5 A £OIN TO55, FOR EXAMPLE, THE RAWPOM EXPERIMENT 6ON5I5T5 OF RE6ORPIN& IT5 OUTCOME... ANP THE SAMPLE SPACE 15 THE SET WRITTEN {Н.Т} AMP if \ PICE |$ Voufc GAfAtf 50
ТИБ SAMPLE SPACE OF THE THROW OF A S/A/^-f PIE IS A LITTLE BICKER. ANP FOR A PAIR OF PICE, THE SAMPLE SPACE LOOKS LIKE THIS (WE MAKE ONE PIE WHITE ANP ONE BLACK TO TELL THEM APART); THIS SAMPLE SPACE HAS 36 (6X6) ELEMENTARy OUT- COMES. FOR THREE PICE, THE SPACE WOULP HAVE 216 ENTRIES, AS IN THIS 6X6X6 STACK. ANP FOUR Pl££? AT SOME POINT, WE HAVE TO STOP LISTING, ANP START THINKING... 31
NOW LET’S IMAGINE A RANPOM EXPERIMENT WITH n ELEMENTARY OUTCOMES O„ 02, ... On. Ж WANT TO ASSIGN A NUMERICAL we&ut or probability, TO EA£M OUTCOME. WMI£M MEASURES TME LIKELIMOOP OF ITS OTCURRIN6. WE WRITE TME PROBABILITY OF ot to FOR EXAMPLE, IN A FAIR 601N TOSS, MEAPS ANP TAILS ARE EQUALLY LIKELY, ANP WE ASSIGN THEM BOTH TME PROBABILITY .5. РОО-РГО - .5 ЕА6И OUTCOME 6OMES UP MALF TME TIME. ASK ANY FOOTBALL. PLATER! IN TME ROLL OF TWO WE, TMERE ARE 36 ELEMENTARY OUTCOMES, ALL EQUALLY LIKELY, SO TME PROBABILITY OF EA£M IS . WMI6M MEANS: IF YOU ROLLEP TME PI6E A VERY LAR6-E NUMBER OF TIMES, IN TME LON6 RUN TMIS OUTCOME WOULP O66UR J- OF TME TIME- QME B1LL10M, -z МиНЪПЕО MILL ION ... ИА<к- . WHEtZE- AMP &K FOR INSTANCE, P<BLA£K 5, WHITE 2) - 3b si
WHAT IF OUR RAMBLER tUSATf ANP THROWS A LOADED DIE? FOR THE SAKE OF ARGUMENT, SUPPOSE THAT NOW A ONE (OMES UP 25% OF THE TIME (IN THE LON& RUN). THE SAMPLE 5PA£E IS THE SAME AS FOR A FAIR PIC {1, 2, 3, 4, 5, 6} .25 -IB ЛБ •16 .16 ,1$ BUT THE PROBABILITIES ARE PIFFERENT. NOW P<1) *.25 ANP THE REMAINING PROBABILTIC5 APP VP TO .75. IF 2, 3, 4, 5, ANP 6 WERE ALL EQUALLY LIKELY, THEN EAZH ONE WOULP HAVE PROBABILITY .15 = -^(.75) IN GENERAL, ELEMENTARY OUTCOMES NEEP NOT HAVE EQUAL PROBABILITY 33
— MOW WHAT CAN WE 5АУ АБОРТ THE PROBABILITIES PfOP IN AN ARBITRARY RAN- POM EXPERIMENT? FIRST OF ALL, ?(Ot)>O PROBABILITIES ARE NEVER NEGATIVE- A PROBABILITY OF ZERO MEANS AN EVENT CAN’T HAPPEN. LESS THAN ZERO WOULP BE MEANINGLESS. I6N‘T ) SECONP, IF AN EVENT IS CERTAIN TO HAPPEN, WE ASSIGN IT PROBABILITY 1. (IN THE LONG RUN, THAT’S THE PROPORTION OF TIMES IT WILL OCCUR.'? IN PARTICULAR, THE TOTAL. PROBABILITY OF THE SAMPLE SPACE MUST BE 1. IF WE PO THE EXPERIMENT, SOMETHING IS BOUNP TO HAPPEN.' PUT THESE TWO TOGETHER, ANP YOU HAVE THE CHARACTERISTIC PROPERTIES OF PROBABILITY: PCOj)* О PROBABILITY IS NON-NE&ATIVE Рбо,)+Рбо2) + ...+Рбол^1 TOTAL PROBABILITY OF ALL ELEMENTARY OUTCOMES 15 ONE. M&TAVHY-SICG VJ/LL 66T Ш
LIKE A CLEVER POLITICIAN, WE HAVE AVOIPEP CERTAIN UNPLEASANT QUESTIONS, SUCH AS a; WHAT POES PROBABILITY MAN? ANP B? HOW PO WE ASSI6N PROBABILITIES TO OUTCOMES? / B-PUH, B-PUH... ' I LET’S PISCUSS SOMETHING EASIER, LIKE SAYS IN THE MILITARY... HERE ARE SOME APPROACHES THAT HAVE BEEN TAKEN-. Classical PROBABILITY; BASEP ON 6AMBLIN6- IPEAS, THE FUNPAMENTAL assumption is that THE 6-AME IS FAIR ANP ALL ELEMENTARY OUTCOMES HAVE THE SAME PROBABILITY. f c'mou! ' pappy Heeps a hew .theory/ Relative Frequency: WHEN AN EXPERIMENT £AN BE REPEATEP, THEN AN EVENT’S PROBABILITY IS THE PROPORTION OF TIMES THE EVENT OCCURS IN THE LON6 RUN. Personal PROBABILITY: MOST OF LIFE’S EVENTS ARE A/OT RGPGATABLG. PERSONAL PROBABILITY IS AN INPIVIPUAL’S PERSONAL. ASSESSMENT OF AN OUTCOME’S LIKELlHOOP. IF A RAMBLER BELIEVES THAT A HORSE HAS MORE THAN A SP% CHANCE OF WINNING, HE'LL TAKE AN EVEN BET ON THAT HORSE. DO '/OU RA WiSPOAA OF PA TRACK- AN OBJECTIVIST USES EITHER THE CLASSICAL OR FREQUENCY PEFINITION OF PROBABILITY. A SUBJEOTWIST OR BAYESIAN APPLIES FORMAL LAWS OF CHANCE TO HIS OWN, OR YOUR, PERSONAL PROBABILITIES. WAUNA ьет? HOW PO YOU KNOW THE ELEMENTARY OUTCOMES ARE EQUALLY LIKELY WITHOUT ROLLING THE PICE A BILLION TIMES?
BASIC OPERATIONS SO FAR, WE HAVE PISCUSSEP ONLY THE PROBABILITY OF ELEMENTARY OUTCOMES. IM THEORY, THAT WOULP BE ENOUGH TO PESCRIBE ANY RANPOM EXPERIMENT, BUT IM PRACTICE ITS PRETTY UNWlELPY FOR EXAMPLE, EVEN SUCH AM ORPIMARY OCCURRENCE AS ROLLING A SEVEN IS NOT AN ELEMENTARY OUTCOME- SO WE IMTROPUCE A NEW I PEA; AN EVENT IS A SET OF ELEMENTARY OUTCOMES. THE PROBABILITY OF AN EVENT IS THE SUM OF THE PROBABILITIES OF THE ELEMENTARY OUTCOMES IN THE SET, FOR INSTANCE, SOME EVENTS IN THE LIFE OF A TWO PICEP ROLLER ARE; EVENT PESCRIPTlON EVENT'S ELEMENTARY OUTCOMES PROBABILITY A- PICE APP TO 3 {61,,29, 62,19} PCA9= В PICE APP TO 6 {61,5), 62,49, 63,39, 64,29, 65,19} C WHITE PIE SHOWS 1 {61,19, 61,29, 61,39, 61,49, 61,59, 61,69} P; BLACK PIE SHOWS 1 {61,19, 62,19, 63,19, 64,19, 65,19, 66,19} P6P}= Iz
THE BEAUTY OF USING EVENTS, RATHER THAN ELEMENTARY OUTCOMES, IS THAT WE CAN COMBIMG EVENTS TO MAKE OTHER EVENTS, USING LOGICAL OPERATIONS. THE RELEVANT WORPS ARE ANP, OR, ANP NOT. THAT IS, GIVEN EVENTS E ANP F, WE CAN MAKE NEW EVENTS; E Cmd F ; THE EVENT E ANP THE EVENT F BOTH O66UR. E OF F ; THE EVENT E OR THE EVENT F OCCURS (OR BOTH РОЛ ПО* E ; THE EVENT E POES NOT OCCUR COMBINING OUR PRIMITIVE PEFINITIONS OF PROBABILITY WITH THESE LOGICAL OPERATIONS WILL GIVE US SOME POWERFUL FORMULAS FOR MANIPULATING PROBABILITIES. GLIM AKORGE. < I GAMBLE COMPULSIVELY AMD I LOST MY SHIRT ДЫР M- PASCAL IS STILL WRKINO on му PROBLEM- vlHAT ARE MY CHANTS Д/fC TV, CtiERtE R .\.U M OR Э7
LET’5 RETURN TO TME PI6E-TMROWIN6 EXAMPLE. IF C 15 TME EVENT, WMITE PIE = 1, ANP P 15 TME EVENT, BLA6K PIE ® 1, TMEN; C OR Р15 TME ENTIRE 5MAPEP AREA 6WMERE ONE PIE OR TME OTMER 15 0. C ANP P\5 WMERE TME 5MAPEP AREA5 OVERLAP 6BOTM Р16Б ARE 0. TMI5 ILLU5TRATE5 TME АРР1Т10Ы RULE; FOR ANV EVENT5 E, F, P(E OR F) = P(E) + P(F) - P(E AND F) APPIN6 P6E9 + P6F; POU8LG tOUMTf TME ELEMENTARy OLHZOME5 5MAREP ВУ E ANP F, 50 WE MAVE TO 5UBTRA6T TME EXTRA AMOUNT, WUI6M 15 P(E ANp F). IN TME ABOVE EXAMPLE, ?(C OR P) = 36 A5 YOU 6AN 5EE ВУ 6OUNTIN6 ELEMENTARy OUT6OME5. LIKEWI5E, Г(С ДЫР P) = J- 36 ANP WE CONFIRM TME FORMULA-- ?(C) + P(P) - ?(C ANP P) A +A _ ± _ JLL ' 36 36 36 36 = ?(c or p; 36
SOMETIMES, THE OVERLAP E AMP F IS EMPTY, ANP THE TWO EVENTS HAVE NO ELEMENTARY OUTCOMES IN COMMON. IN THAT 6ASE, WE SAY E ANP F ARE MUTUALLY EXCLUSIVE, MAKING FYE ANP F9 => 0. HERE WE SEE THE MUTUALLY EXCLUSIVE EVENTS A, THE PI6E APP TO 3, ANP B, THE PI6E APP TO 6. Offl Offl Offl н и OB on Sffl Hffl Sffl Hffl EIB SB В □ffl ns na nra era on □ffl Sffl 0® HH SB so □йагаищииивпп a □ffl@BHs нга ив □□ FOR MUTUALLY EXCLUSIVE EVENTS, WE 6ET A SPECIAL APPITION RULE' IF E ANP F ARE MUTUALLY EXCLUSIVE, THEN P(E OR F) = P(E) + P(F) ANP WE 6HE6K THAT FYA OR Bj = ^- = = Р/Д'Н ?СВ) i 36 >6 36 ANP FINALLY, A SUBTRACTION RULE-. FOR ANY EVENT E, P(E) = 1 - P(NOT E) THIS IS USEFUL WHEN P(NOT E) IS EASIER TO COMPUTE THAN Р6ЕЛ FOR INSTANT, LET E BE THE EVENT, A POUBLE-1 IS NOT THROWN. THE EVENT NOT-E, A POUBLE-1 IS THROWN, HAS PROBABILITY PfNOT E? * i . 5b so ?(£) = 1-Р6ЫОТ = 1 = 36 ишввнииаа ЯП ЯП ЯП sn ЯП ЯП ЯП ЯП ЯП ЯП ЯП ЯП ЯП ЯП ян ян ян ЯНЕ ЯНЕ ЯНЕ 39
THE FORMULA* WE JU*T PERIVEP ARE, IN FA£T, APEQUATE FOR AN*WERIN6 PE MERE’* QUE*TION- BUT NOT EA*ILYI (YOU MI6-UT TRY U*lN6> THEM ON A *IMPLER QUE*TION: WHAT’* THE PROBABILITY OF ROLLING AT LEA*T ONE *IX IN TWO ROLL* OF A *IN6>LE PIE?} WE NEEP MORE MACHINERY! *O WE INTROPU6E conditional probability (AN E**ENTIAL 6ON6EPT IN *TATI*TI6*O LOOK\ *UPPO*E WE ALTER OUR EXPERIMENT *LI6HTLY, ANP THROW THE WHITE PIE BEFORE THE BLA6K PIE. WHAT’* THE PROBABILITY THAT THE FA£E* *UM TO 3? BEFORE THE РКБ ARE THROWN, THE PROBABILITY I* FW= Tl NOW *UPPO*£ THE WHITE PIE (OME* UP 1 (EVENT O. WHAT’* THE PROBABILITY OF A NOW? 40
WE/ALL IT TME tOMPITIOUAL PROBABILITY THAT EVENT A WILL O/ZUR, 6-IVEN TME СОМРГПОМ THAT EVENT С MAS ALREAPy O/ZURREP. WE WRITE P(AIC) ANP 5АУ “THE PROBABILITy OF A, 6WW 6.” BEFORE ANy Pl/E WERE THROWN, TME SAMPLE SPA/E MAP 36 OUT/OMES, BUT NOW THAT TME EVENT С MAS O/ZURREP, TME OUTCOME MUST BELONG TO TME REPUtGP 4A&PLG 4PACG £ IN TME REPU/EP SAMPLE SPA/E OF SIX ELEMENTARy OUTCOMES, ONLy ONE OUTCOME 61,2} SUMS TO 3. ^O TME 6ONPITIONAL PROBABILITy 15 1/6. \ IN GENERAL, TO FlNP TME 6ONPITIONAL PROBABILITy PtelF), WE LOOK AT TME EVENT E ANP F A5 PART OF TME REPU^EP SAMPLE 6PA/E F. 4-1
WE TRANSLATE THIS INTO A FORMAL PEFINITION: THE CONDITIONAL PROBABILITY OF £, CIV£N F, IS P(EIF) = PtE ond P(Fj FROM WHICH YOU CAN PIRECTLY VERIFY SOME INTUITIVE FACTS: PfelE) - 1 (ONCE G OCCURS, IT’S CERTAIN.) WHEN E ANP F ARE MUTUALLY EXCLUSIVE, PftlFJ - 6? (ONCE F HAS OCCURREP, G IS IMPOSSIBLE.) REARRANGING THE PEFINITION GIVES US THE MULTIPLICATION RUL£= P(E AND F) = P(EIF)P(F) WHICH WE WOULP LIKE TO REPUCE TO A “SPECIAL" MULTIPLICATION RULE, UNPER THE FAVORABLE CIRCUMSTANCES THAT PCElF) » P(E). THAT WOULP BE EXCELLENT' /ANP WHILE VOtl'RE 4 WAITING THE NEXT РД6Е, NOTE THAT 5WAP?IU6> E ANP F PROVES THAT ?(f)₽(e|F)--P(E)?(F|E)
INDEPENDENCE and the special multiplication rule. TWO EVENTS E ANP F ARE INPGPGNPGNT OF EAT OTHER IF THE OTURRENT OF ONE HAS HO INFLUGKCG ON THE PROBABILITY OF THE OTHER- FOR INSTANT, THE ROLL OF ONE PIE HAS NO EFFECT ON THE ROLL OF ANOTHER (UNLESS THEY’RE 6LUEP TOGETHER, MA6NETI6, GTCl). IN TERMS OF T3NPITIONAL PROBABILITY, THIS AMOUNTS TO SAYING Pte? • PtelF? OR, EQUIVALENTLY, P<F? * P<FlG?. WHEN E ANP F ARE INPEPENPENT, WE &ET A 5PGCIAL MULTIPLICATION RULG: P(E AND F) = P(E)P(F) LET’S VERIFY THE INPEPENPENT OF PIT, USIN6 THE FORMULAS. C IS THE EVENT WHITG PIG COMG* UP h P IS THE EVENT BLACK PIG COMG5 UP 1, ANP WE HAVE: . ft 1 BUT THE WHITE PIE SHOWING 1 OBVIOUSLY POES AFFECT THE TANTS THAT THE SUM OF THE TWO PIT IS 3! ± km .2- -1 4 KM . X pa) pa) i b 18 SO THESE TWO EVENTS ARE NOT INPGPGNPGNT 43
BEFORE 6OIN& ОМ, LET’S SUMMARIZE ALL THE RULES WEVE ACCUMULATE?: APPITIOM RULE; P(E OR F) = P(E) + P(F) - P(E AND F) SPECIAL APPITIOM RULE: WHEN E AMP F ARE MUTUALLV EXCLUSIVE, P(E OR F) = P(E) + P(F) SUBTRACTION RULE: P(E) = 1 - P(NOT E) MULTIPLICATION RULE: P(E AND F) = P(E I F)P(F) SPECIAL MULTIPLICATION RULE: WHEN E AMP F ARE IMPEPEMPEMT, P(E AND F) = P(E)P(F) AMP MOW, PE MERE’S PROBLEM AT LAST... LET E BE THE EVENT OF 6ETTIN6 AT LEAST ONE SIX IN FOUR ROLLS OF A SINGLE PIE. WHAT’S РСЕ)? THIS IS ONE OF THOSE EVENTS WHOSE NEGATIVE IS EASIER TO PESCRIBE'- A/OT C IS THE EVENT OF ££T77A/£ NO IN FOUR THROWN IF A, IS THE EVENT, &ETTIN6 NO SIX ON THE THROW, WE KNOW THAT PCA,) = . WE ALSO KNOW THAT ROLLS ARE INPEPENPENT, SO P(NOT E) = WULTiPUKATiON UULt « SO PCA, AMP A2 ANp A3 ANp A4) F(G) 1 - P(NOT E) » .919 44
MOW THE SECONP HALF: LET F BE THE EVENT, 6ETTIN6 AT LEAST ONE POUBLE SIX IN 24 THROWS. A6AIN, NOT F IS EASIER TO PESCRIBE. IT’S THE EVENT OF &ETTIN6- NO POUBLE SIXES. IF В,- IS THE EVENT, NO POUBLE SIX IS THROWN ON THE ROLL, THEN NOT F = B, ANP B2 ANP... B24. THE PROBABILITY OF EACH В IS P6B/) = 5^ . so P6NOT F) = (^) = .509 (W THE MULTIPLICATION RULE? ANP WE CONCLUPE THAT PCF? » 1 - PCNOT F) -- 1 - .509 * .491 PE MERE TOLP PASCAL HE HAP ACTUALLY OBSERVEP THAT EVENT F OCCURREP LESS OFTEN THAN EVENT E, BUT HE WAS AT A LOSS TO EXPLAIN WHY... FROM WHICH WE CONCLUPE THAT PE MERE 6AMBLEP OFTEN ANP KEPT CAREFUL 45
BAYES THEOREM and the case off the ffalse positives... FOR A MORE SERIOUS APPLICATION OF CONDITIONAL PROBABILITY, LET’S ENTER AN ARENA OF LIFE ANP PEATH... SUPPOSE A RARE PISEASE INFECTS ONE OUT OF EVERY WOO PEOPLE IN A POPULATION... ANP SUPPOSE THAT THERE IS A 6OOP, BUT NOT PERFECT, TEST FOR THIS PISEASE: IF A PERSON HAS THE PlSEASE, THE TEST COMES BACK POSITIVE 99% OF THE TIME. ON THE OTHER HANP, THE TEST ALSO PROPUCES SOME FALK POSITIVE*. ABOUT 2% OF UNINFECTEP PATIENTS ALSO TEST POSITIVE. ANP YOU JUST TESTEP POSITIVE. WHAT ARE YOUR CHANCES OF HAVING THE PISEASE? Ab
HAVE TWO EVENTS TO WORK WITH; A : PATIENT HAS THE PISEASE В РКТШТ TESTS POSITIVE. THE INFORMATION ABOUT THE TEST’S EFFECTIVENESS CAN BE WRITTEN ?(Ю * .001 PftlA) » .99 PfBlNOT A) * .01 ANP WE ASK » WHAT? CONE PATIENT IN WOO HAS THE PISEASE) (PROBABILITY OF A POSITIVE TEST, GIVEN INFECTION, IS .99) (PROBABILITY OF A FALSE POSITIVE, GIVEN NO INFECTION, IS .02) (PROBABILITY OF HAVING THE PISEASE, GIVEN A POSITIVE TEST) SINCE THE TREATMENT FOR THIS PISEASE HAS SERIOUS SIPE EFFECTS, THE POCTOR, HER LAWYER, ANP HER LAWYER’S LAWYER CALL ON JOE BAYES, CP (CONSULTING PROBABILIST), FOR AN ANSWER. JOE PERIVES A THEOREM FIRST PROVEP BY HIS ANCESTOR, THE REV. THOMAS Й4УИ (1744-1009). \__________________________________________________________У 47
JOE BEGINS WITH A 2X2 TABLE, WHICH PIVIPE* THE SAMPLE SPACE INTO FOUR MUTUALLV EXCLUSIVE EVENT*. IT PI*PLAV* EVERy POSSIBLE COMBINATION OF PISEASE STATE ANP TEST RESULT. A NOT A В A ANP В NOT A ANP В NOT В A ANP NOT В NOT A ANP NOT В LET’S FINP THE PROBABILITIES OF EACH EVENT IN THE TABLE- A NOT A SUM В P6A ANP в; PfNOT A ANP B) PCB) NOT В PCA ANP NOT b) PCNOT A ANP NOT B) PCNOT b) pca; PCNOT a; 1 THE PROBABILITIES IN THE MARGINS ARE FOUNP ВУ SUMMING ACROSS ROWS ANP POWN COLUMNS. \, V&rlMTtou*. NOW COMPUTE; рбд anp в; = p<&ia;p<a; = (.99X001) = .00099 P6NOT A ANP B? = PCBlNOT AMNOT A? = (02)C999) ’ .01990 ALLOWING US TO FILL IN SOME ENTRIES: A NOT A SUM В .00099 .01990 .OZO91 NOT В PCA anp NOT b) P(NOT A ANP NOT B) PCNOT b) .001 .999 1 WE FINP THE REMAINING PROBABILITIES ВУ SUBTRACTING IN THE COLUMNS, THEN APPING ACROSS THE ROWS. 46
THE FINAL TABLE 19- В A NOT A P6BP .00099 .01990 .02097 NOT В .00001 .97902 .979m P6NOT B) .001 .999 1 pca; P6NOT A) FROM WHI^H WE PIRE6TLV PERIVE FYAlB) __ KAWB) = ЛОО99 = P(B? .02097 PESPITE THE HI6H A^URA^y OF THE TEST, LEM THAN 9% OF THOSE WHO TEST POSITIVE A^TUALLV HAVE THE PISEASE' THIS IS 6ALLEP THE FAL9E POSITIVE PARADOX. ДХ1Р ?д\ед- LAWVb^- THIS TABLE. SHOWS WHAT HAPPENS IN A 6-ROUP OF A THOUSANP PATIENTS. ON AVERAGE, ONLy 21 PEOPLE WILL TEST POSITIVE—ANP ONLy ONE OF THEM HAS THE PISEASE' 20 FALSE POSITIVES £OM£ FROM THE #UCH LARGER UNINFECTED CROUP. PISEASE NO PISEASE TESTS POSITIVE 1 20 21 TESTS NEGATIVE О 979 979 1 999 WOO 49
WHAT'S THE PHYSICIAN TO PO? JOE BAYES APVISES HER NOT TO START TREATMENT ON THE BASIS OF THIS TEST ALONE. THE TEST POES PROVIPE INFORMATION, HOWEVER; WITH A POSITIVE TEST THE PATIENT'S CHANCE OF HAVING THE PISEASE INCREASEP FROM 1 IN WOO TO 1 IN 23. THE POCTOR FOLLOWS UP WITH MORE TESTS. JOE BAYES COLLECTS HIS CONSULTING CHECK BEFORE APMITTING THAT ALL THOSE STEPS HE WENT THROUGH CAN BE COMPRESSEP INTO THE SINGLE FORMULA CALLEP BAYES THEOREM; P(A)P(BIA) P(AIB) = P(A)P(B I A)+P(NOT A) P( ВI NOT A) IT COMPUTES P6AIB) FROM P(A) ANP THE TWO CONPITIONAL PROBABILITIES PCBlA) ANP P6BINOT A?. YOU CAN PERIVE IT BY NOTING THAT THE BIG FRACTION CAN BE EXPRESSEP AS P(A and B) _ P(A and В) _ р[д|р« P(A and B)+P(NOT A and B) ~ P(B) ~ 1 50
IN THIS CHAPTER, WE COVEREP THE BASICS OF PROBABILITY: ITS PEFINITION, SAMPLE SPACES ANP ELEMENTARY OUTCOMES, CONPITIONAL PROBABILITY, ANP SOME BASIC FORMULAS FOR COM PUTlNG PROBABILITIES. WE ILLUSTRATEP THESE IPSAS USING A 2-PICE SAMPLE SPACE. FOR THE MOPERN 6AM BL ER, PROBABILITY IS THE POWER TOOL OF CHOICE. DDDDDD ИИЙИИН БК QD EE QD EE EE S3 S3 EK3 S3 EK3 S3 §ИЙ0 ВДЕЗНПН rm rm rm rm i уД |Тц |ДД ДДД уд gSHEQH ANP FINALLY, IN THE MEPICAL EXAMPLE, WE SHOWEP HOW THESE ABSTRACT IPSAS COULP HELP TO MAKE GOOP PENSIONS IN THE FACE OF IMPERFECT INFORMATION ANP REAL RlfK^-THE ULTIMATE COAL OF STATISTICS- BUT THIS IS JUST THE BEGINNING- FOR US, PROBABILITY IS ONLY A TOOL-AN ESSENTIAL TOOL, TO BE SURE-IN THE STUPY OF STATISTICS. IN THE CHAPTERS THAT FOLLOW, WE’LL EXPLORE THE SUBTLE RELATIONSHIP BETWEEN PROBABILITY, VARIATIONS IN STATISTICAL PATA, ANP OUR CONFIPENCE IN Г" INTERPRETING THE MEANING OF OUR OBSERVATIONS. Я
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♦ Chapter 4ф RANDOM VARIABLES IN CHAPTER 2, WE SAW THAT OBSERVATIONS OF NUMERICAL PATA, LIKE STUPENTS’ WEIGHTS, ZAN BE 6RAPMEP ANP SUMMARIZE? IN TERMS OF MIPPOINTS, SPREAPS, OUTLIERS, ETZ. IN CHAPTER 3, WE SAW MOW PROBABILITIES ZAN BE ASSI6NEP TO ТМБ OUTCOMES OF A RANPOM EXPERIMENT. IF WE IMAGINE A RANPOM EXPERIMENT REPEATEP MANY TIMES, WE EXPERT THAT THE ACTUAL OUTCOMES OVER TIME WILL BE 6OVERNEP ВУ TMEIR PROBABILITIES. THE PROBABILITIES FORM A &OPGL FOR REAL-LIFE EXPERIMENTS... SO WHY NOT PO FOR THE MOPEL WMAT WE'VE ALREAPY PONE FOR TME PATA IT PES6RIBES? 5Э
THE КЕУ (PEA \5 TME RANPOM VARIABLE, WMIdM WE WRITE AS A LAR6E _________ __ A RANPOM VARIABLE Ъ PEFINEP AS TME NUMERICAL OUTCOME OF A RANPOM EXPERIMENT. FOR EXAMPLE, IMAGINE PRAWIN6 ONE STUPENT AT RANPOM FROM TME STUPENT ВОРУ. THAT'S TME RANPOM EXPERIMENT. TME STUPENTS HEICRT, WEIERT, FAMILY INCOME, !.A.T. MORE, ANP ERAPE POINT AVERAGE ARE ALL NUMERICAL VARIABLE! PES£RIBIN6 PROPERTIES OF TME RANPOMLV SELE6TEP STUPENT. THEY'RE ALL RANPOM VARIABLE!. ANOTHER EXAMPLE- TOSS TWO 6OINS fTME RANPOM EXPERIMENT? ANP RE^ORP TME NUMBER OF HEAPS; О, 1, OR 2. NOTE TME NOTATION! THE VARIABLE IS WRITTEN WITH A CAPITAL X. TME LOWERCASE REPRESENTS A SINGLE VALUE OF X, FOR EXAMPLE /'-2, IF HEAPS dOMES UP TWIdE. Я
ANOTHER EXAMPLE Ъ BASEP ON THE FAMILIAR TOSS OF TWO PldE. LET У REPRESENT THE SUM OF THE POTS ON THE TWO P1£E- FOR THIS RANPOM VARIABLE, У £AN BE ANY NUMBER BETWEEN 2 ANP 12. NOW WE WANT TO LOOK AT THE PROBABILITIES OF THE OUTCOMES- FOR THE PROBABILITY THAT THE RANPOM VARIABLE X HAS THE VALUE Z, WE WRITE PrfX - ХЛ OR JUST FOR THE 6OIN-FLIPPIN6 RANPOM VARIABLE X, WE £AN MAKE THE TABLE*- Я О 1 THIS TABLE IS 2 £ALLEP THE PROBABILITY Рг(Х~я) 1 4 1 2 1 DISTRIBUTION OF — THE RANPOM h VARIABLE X- FOR THE RANPOM VARIABLE У (THE SUM OF TWO PI6EJ, THE PROBABILITY PISTRIBUTION LOOKS LIKE THIS*. 5S
NOW LET’S PRAW GRAPHS, OR U&TO&WAf, 5Н0Ш1Ш, THESE PROBABILITY PISTRIBUTIONS. FOR EAZH VALUE OF X, WE PRAW A BAR EQUAL IN HEIGHT TO pCzY IT’S EASY TO SEE THAT THE TOTAL AREA OF THESE BOXES IS 1; EACH BOX HAS BASE 1 ANP HEIGHT р(Я\ 50 THE TOTAL AREA 15 THE SUM OF THE PROBABILITIES OF ALL OUTCOMES, l.£. L HERE’S THE PROBABILITY HISTOGRAM OF THE RANPOM VARIABLE У, SHOWING THE PROBABILITY PISTRIBUTION OF THE SUM OF TWO PI6£;
WHY PO WE £ALL THESE GRAPHS HISTOGRAMS? YOU’LL RECALL THAT IN CHAPTER 2, A HISTOGRAM WAS A GRAPH THAT PISPLAYEP HOW MANY PATA POINTS LAY IN EMH OF A SERIES OF INTERVALS: FROM THIS FREQUENCY HISTOGRAM, WE PERIVEP THE RELATIVE FREQUENCY HISTOGRAM, SHOWING THE PROPORTION OF PATA IN EMH INTERVAL: \_________________________________________—--------------------------' BUT YOU’LL RECALL THAT, BY ONE PEFINITION, PROBABILITY IS THE RELATIVE FREQUENCY OF AN EVENT "IN THE LONE RUN.” IF WE REPEAT THE RANPOM EXPERIMENT MANY TIMES, THE RELATIVE FREQUENCY HISTOGRAM OF THE OUTCOMES SHOULP 6OME TO LOOK VERY MUdH LIKE THE RANPOM VARIABLE’S PROBABILITY HISTOGRAM.' 51
WE ILLUSTRATE USIN6 THE RANPOM VARIABLE X ANP A MAP COIN TOSSER. WE KNOW X’S PROBABILITY PISTRIBUTION, ANP WE ALSO KNOW THAT THE ACTUAL COIN FLIPS WILL MATCH THE PROBABILITIES APPROXIMATELY. AFTER WOO TOSSES, THE MAP TOSSER TALLIES HER PATA: PROBABILITY MOPEL Я OBSERVEP PATA пл~NUMBER OF OCCURRENCES RELATIVE FREQUENCY .25 0 260 .260 .5 1 517 .517 .25 2 223 .223 ANP WE SEE THAT THE PROBABILITY HISTOGRAM OF X LOOKS LIKE THE “PURE FORM” OR MOPEL OF THE RELATIVE FREQUENCY HISTOGRAM OF THE PATA. 58
ТО EXTENP THE ANALOGY BETWEEN RELATIVE FREQUENCY ANP PATA, WE DMOULP NOW BE WILLING TO TALK ABOUT THE MEAN ANP VARIANCE (OR DTANPARP PEVIATION? OF A PROBABILITY PIDTRIBUTION... ANP JUDT TO REMINP OURDELVED THAT WE RE IN THE REALM OF THE ABDTRAOT WE BREAK OUT DOME ЛЙЕ0К LETTERS— MEAN AND VARIANCE OF RANDOM VARIABLES WE UDE DPECIAL TERMINOLOGY ANP DYMBOLD TO PIDTINGUIDM BETWEEN TME PROPERTIED OF PATA DETD ANP PROBABILITY PIDTRIBUTIOND: PROPERTIED OF PATA ARE 6ALLEP SAMPLE PROPERTIED, WHILE PROPERTIED OF TME PROBABILITY PIDTRIBUTION ARE ^ALLEP &OPEL OR POPULATION PROPERTIED WE UDE TME GREEK LETTER JU (MU) FOR TME POPULATION MEAN, ANP a (LOWER^ADE DIGMA) FOR TME POPULATION DTANPARP PEVIATION. (FOR PATA, WE UDE TME ROMAN DYMBOLD X ANP D.) 59
MOW SOME OF THESE PATA POINTS я!, МАУ WELL HAVE EQUAL VALUES. THINK OF THE MAP COIN TOSSER-- THE ОМЕУ AVAILABLE VALUES WERE О, 1, ANP 2, ANP SHE MAPS WOO TOSSES. THE VALUE О WAS TAKEN ON 26P TIMES, 1 HEAP CAME UP 917 TIMES, ANP 2 HEAPS, 223 TIMES. AS WE LET Я RAN6E OVER ALL VALUES OF X, CALL nx THE NUMBER OF PATA POINTS WITH THE VALUE %. THEN WE CAN REWRITE THAT FORMULA AS allz OR 7 - V * Xj n allz AHI BUT NOW jjr IS THE RELATIVE FREQUENCY.. THE “APPROXIMATE PROBABILITY.." THE NUMBER THAT APPROACHES p(X)..5O, ВУ ANALOGY WE FORM THE EXPRESSION all % ANP PEFINE THAT AS THE MSAN OF ТИБ PROBABILITY P&TRIBUVOU.
PCFIHITIOM: THE mean of the RANPOM VARIABLE X PEFINEP A* all % TMI^ 15 ALSO £ALLEP THE EXPECTEP VALUE OF X, OR Е[х]. THINK OF IT AS THE SUM OF THE POSSIBLE VALUES, EAZH WEI6-HTEP BY ITS PROBABILITY. THE MAP 6OIN TO59QR'5 EXPERIMENT ALLOWS US TO COMPARE HER SAMPLE MEAN X WITH OUR MOPEL MEAN /г- X SAMPLE пл n * n MOPEL p(^ 0 .U 0 0 .25 0 1 .917 .517 1 .5 .5 2 .223 AAb .9ЬЪ = X, 2 .25 .5 1 NOW LET'* PO THE SAME THIN6- TO THE VARIANCE. MAYBE YOU REMEMBER THE FORMULA MORE MATH! *2 IT (ALMOST? MEASURES THE AVERAGE SQUAREP PISTAN6E OF PATA FROM THE MEAN. A* ABOVE THIS (AN BE REWRITTEN: 61
EXCEPT FOR THAT АК1К1ОУ1К16> PENOMINATOR П-1 IKISTEAP OF n, TH 15 ALSO LOOKS LIKE A WEl&HTEP SUM OF SQUAREP PlSTANCES... SO WE MAKE ANOTHER P£FINITIOH: the variance OF A RANPOM VARIABLE X IS THE БХРЕСТБР SQUAREP PlSTAKlCE FROM THE POPULATION MEAN: allz the standard deviation cr IS THE SQUARE ROOT OF THE VARIANCE. \________________________________________________________г WE USE THE TABLE FROM THE LAST РА6Б TO FINP THE VARIANCE OF THE TWO-COIN TOSS (FOR WHICH /4 = V. О .45 (0-})г.45 = .45 1 .5 (1-1)г.5О = О 4 .45 (4-\)г.45 = .45 total 50 ~ ТО SUM UP: р. ANP cr, THE POPULATION Ж£4А/ ANP 5TAUPARP PSVIATIOH^Q PROPERTIES WE CAN COMPUTE FROM PROBABILITY PlfTRIBUTIOHf. THEY ARE COMPLETELY ANALOGOUS TO THE SAMPLE MEAN % ANP STANPARP PEVIATION S COMPUTEP FROM SAMPLE PATA. 62
OUR EXAMPLES SO FAR HAVE BEEN V&tRCTE RANPOM VARIABLES THE R OUTCOMES ARE A SET OF ISOLATEP rPISCRETE”) VALUES, LIKE THOSE WE SAW IN CHAPTER 3, BUT THERE ARE ALSO Continuous Random Variables LET’S IMAGINE A RANPOM EXPERIMENT IN WHICH ALL OUTZO&E5 HAVE PROBABILITY ZERO. THAT’S RIC-HT, fW * 0 FOR EVERY %. A SIMPLE EXAMPLE IS A BALANCEP SPINNING POINTER IT CAN STOP ANYWHERE IN THE CIRCLE IF X REPRESENTS THE PROPORTION OF THE TOTAL CIRCUMFERENCE IT LANPS ON, THE RANPOM VARIABLE X CAN TAKE ON ANY VALUE BETWEEN О ANP 1-AN INFINITE RANCE OF VALUES. SOME PROBABILITIES ARE EASY TO FlNP, LIKE THE PROBABILITY THAT X FALLS WITHIN A RANCE; FOR EXAMPLE, Рг(Л5 $ X < .75 ) - .5, BECAUSE IT’S HALF THE CIRCLE BUT WHAT ABOUT Pr(X » .5)? SINCE X CAN TAKE ON AN INFINITE NUMBER OF VALUES, ANP ALL OF THESE VALUES ARE EQUALLY LIKELY, THE PROBABILITY THAT X IS EXACTLY .5 Cor exactly anyth inc.) is PRECISELY О
HOW CAN WE PRAW A PICTURE OF THIS? ВУ ANALOG WITH THE CASE OF PISCRETE PROBABILITIES, WE TRV TO SEE CONTINUOUS PROBABILITIES AS ARGAf UHVSR $OM£THIN6. FOR THE SPINNING POINTER, THE 'SOMETHING* LOOKS LIKE THIS; = О WHEN % < О = 1 WHEN О $ % $ 1 » О WHEN % > 1 THE PROBABILITy THAT THE POINTER POINTS ANVWHERE BETWEEN a ANP b IS PREClSELy THE AREA OF THE SHAPEP REGION UNPER THE CURVE BETWEEN a ANP b (IN THIS CASE, b~a). - THE PROBABILITV OF AN EXACT OUTCOME, HOWEVER, IS THE "AREA" OVER A POINT, WHICH IS ZGRO- (ANP NOTE THAT THE TOTAL AREA UNPER THE CURVE IS EXACTLV О
ТИБ *АМЕ PICTURE PE*£RIBE* THE RANDOM NUMGR &GNGRATOR FOUNP ON MO*T COMPUTER* ANP *OME CALCULATOR*. PRE** THE BUTTON; OUT POP* A NUMBER BETWEEN о ANP 1-, ANP ALL THE NUMBER* ARE EQUALLY LIKELY, JU*T A* WITH THE SPINNING POINTER. BUT *APLY, THEY AREN’T TRULY RANPOM. THEY’RE PROPUCEP BY *OME ALGORITHM, *0, TO BE ACCURATE, WE CALL THEM F*EUPO-RANPOM NUMBER*. THE CURVE y. = IN THI* EXAMPLE I* CALLEP THE PROBABILITY Р£НЯТУ Of THE CONTINUOU* RANPOM VARIABLE X- EVERY CONTINUOU* RANPOM VARIABLE HA* IT* OWN P£N*ITY FUNCTION. THE PROBABILITY Pr(a $ X $ b) I* THE AREA UNPER THE ^URVE BETWEEN THE -VALUE* a ANP b. 6*
IN GENERAL, ТИБ PROBABILITY PENSITY WON’T BE SO SIMPLE, ANP COMPUTING THE AREAS CAN BE FAR FRO/И TRIVIAL WE HAVE TO USE CALCULUS NOTATION TO PESCRIBE THE AREA UNPER THE CURVE /?%). THIS SYMBOL IS REAP "THE INTEGRAL OF f FROM a TO b? •b bb
ALTHOUGH ТИБ NOTATION МАУ ВБ UNFAMILIAR, ALL IT MEANS IS AN ARSA.. ТИБ INTEGRAL SI6N ITSELF IS A STRETCHEP *S," FOR SUM, WHICH THE INTEGRAL, IN SOME SENSE, IS. AS A SUMLIKE SOMETHING, THE INTEGRAL SERVES TO PEFINE THE MEAN AND VARIANCE of a continuous random variable. /U ~ z-F(X)dz V CD (гг - (t-ptf-ffadt BY ANALOGY WITH THE allx PISCRETE FORMULAS-- aUZ ALTHOUGH IT МАУ NOT ВБ OBVIOUS FROM THE FORMULAS, THESE PEFINITIONS OF MEAN ANP VARIANCE ARE ENTIRELY CONSISTENT WITH THEIR ROLE AS CENTER ANP AVERAGE SPREAP OF THE PROBABILITIES 6IVEN BY THE PENSITY /fr). THE PICTURE TO KEEP IN MlNP IS THIS: 67
ADDING random variables ONCE you KNOW THE MEAN ANP VARIANCE OF A RANPOM VARIABLE, WHAT CAN yOU PO WITH THEM? WELL, FOR ONE THIN6, УОР CAN FINP THE MEAN ANP VARIANCE OF SOME OTUCR RANPOM VARIABLES... /-----------------------------------------------------------------------\ FOR EXAMPLE, LOOK AT A FAIR COIN TOSS LET X » 1 IF THE COIN COMES UP HEAPS ANP О IF IT COMES UP TAILS. X О 1 p<X) 5 .5 ВУ NOW, yOU SHOULP BE ABLE TO FINP THE MEAN Б[Х] = О p(O) - 1 -p(l) = О 4- .5 = .5 ANP THE VARIANCE (Гг = (o-.tfp(o) 4- (\-jrfptt) ~ .Z5 NOW LET’S PLAy A SIMPLE GAMBLING- 6AME VOU ANTE UP tb.OO TO PLAy-, I FLIP A COIN; VOU WIN IF THE COIN COMES UP HEAPS, ZERO IF TAILS. THEN yOUR WINNINGS W ARE W = 16?X - 6 A NEW RANPOM VARIABLE.' WHAT ARE ITS MEAN ANP VARIANCE? 68
A LITTLE THOUGHT SHOULP CONVINCE /OU THAT E[w] 15 6IVEN ВУ E[W] = £[юХ-б] = 10E[X] - b WHICH WORKS OUT TO 1O(O.5)-b = -1 you CAN CHECK IT US INC, THIS TABLE: IN GENERAL, IT IS NOT HARP TO SHOW THAT фх+/>] - flt[x] 4-/> WHEN a ANP b ARE ANy NUMBERS ANP X IS ANy RANPOM VARIABLE. FOR THE VARIANCE, THERE'S ALSO A GENERAL RESULT: сгг(аХ+Ь) =• агсгг(Х) IN THE 6AMBLIN6 6AME ABOVE, THE POSSIBLE OUTCOMES ARE -b ANP 4, SO IT'S CLEAR THAT THE VARIANCE OF W MUST BE GREATER THAN THE VARIANCE OF X. IN FACT, <W? ~ сг2(1ОХ+Ь) - ЮОа2(Х) = 29 boUfiPb LIKE A ANP <r(w) ~ 5 6UCKE₽ To 69
you CAN AL*O APP TWO RANPOM VARIABLE* TOGETHER. FOR IN*TANCE, *UP- PO*E WE TO** A COIN TWltG. THE NUMBER OF HEAP* ON BOTH TO**E* I* Xj+Xj, WHERE X, ANP X2 ARE THE RANPOM VARIABLE* 6IVIN6- THE RE*ULT* OF THE FIR*T ANP *ECONP TO**E*. %l+%2 О 1 2 р(.^+хг)\ .25 .5 A6AIN, IT1* ЕА*У TO *EE THAT E[X,+X2] = E[X,] + E[X2] CPON'T A*K ABOUT THE PROBABILITY PI*TRIBUTlON OF X,+X2, BECAU*E IT PEPENP* IN A COMPLICATE? WAY ON THE TWO ORIGINAL PI*TRIBUTION*. FOR EXAMPLE, IF X, ANP X2 ARE BOTH THE *PINNIN6 POINTER PI*TRIBUTION, THE HI*TO6-RAM* ACT LIKE THI*J 70
THE VARIANCE OF ТИБ *UM OF RANPOM VARIABLE* HA* A *IMPLE FORM IN ТИБ *PE£IAL 4A*E WHEN ТИБ VARIABLE* X ANP У ARE 1НРБРБЫРБНТ. ТИБ TEZTHNI6AL PEFINITION OF INPEPENPENzTE I* BA*EP ON THE PROBABILITY PROPERTY P6A ANP B) - P<AMB)... BUT FOR U*. INPEPENPENT JU*T MEAN* THAT X ANP У ARE 6-ENERATEP ВУ ШРБРБЫРБЫТ ЯБСИАЫЫМ, *U£H A* FLIP* OF A 6OIN, ROLL* OF A PIE, ЕТЛ OUT*I PE THE ZA*INO, IT* HARP TO FINP COMPLETE INPEPENPENT... WHEN X ANP У ARE INPEPENPENT, ТИБ1Я VARlAMtSf APP: <r2(*+Y) = crW+crW IN THE 6A*E OF TWO £OIN TO**E*> = <r2<Xf)4-<Z2<X2) - .25+ .25 ~ .5 ALL OF THI* 6AN BE 6ENERALIZEP TO THE *UM OF MANY RANPOM VARIABLE*: s £eK] i - / i = Z ANP, WHEN THE Л,- ARE ALL INPEPENPENT, i~1 i-1 71
THESE CALCULATIONS LIE AT THE HEART OF MOST SAMPLING THEORV ANP STATISTICS. МАМУ SUMMARIES OF. PATA, SUCH AS THE SAMPLE MEAN, ARE LINEAR COMBINATIONS OF PATA <!.£., SUMS OF THE ТУРЕ лХ + ЬУ + cZ + ... ) IN THE NEXT CHAPTER, WE WILL SEE TWO IMPORTANT EXAMPLES OF RANPOM VARIABLES-- ONE, THE BINOMIAL, IS THE SUM OF MANy REPEATEP INPEPENPENT RANPOM VARIABLES. THE OTHER, THE NORMAL, IS A CONTINUOUS RANPOM VARIABLE THAT HAS A SURPRISING RELATIONSHIP TO THE BINOMIAL, ANP ANy OTHER SUM OF INPEPENPENT RANPOM VARIABLES AS WELL 72
♦ Chapter 5 + A TALE OF TWO DISTRIBUTIONS NOW WE LOOK AT TWO IMPORTANT EXAMPLES OF RANPOM VARIABLES, ONE PISCRETE ANP ONE CONTINUOUS.
WE BE6-IN WITH THE PISCRETE ONE, CALLEP THE BINOMIAL RANPOM VARIABLE. SUPPOSE WE HAVE A RANPOM PROCESS WITH JUST TWO PO44IBLE OUTCOMES; A HEAPS-OR-TAILS COIN ТОМ, A WIN-OR-LOSE FOOTBALL 6AME, A PASS-OR- FAIL AUTOMOTIVE SMO6- INSPECTION. WE ARBITRARILY CALL ONE OF THESE OUTCOMES A SUCCESS ANP THE OTHER A FAILURE. WHAT WE PO IS TO REPEAT THIS EXPERIMENT... WELL, REPEATEPLY. SUCH A REPEATABLE EXPERIMENT IS CALLEP A Bernoulli trial, PROVIPEP IT HAS THESE CRITICAL PROPERTIES: V THE RESULT OF EACH TRIAL MAY BE EITHER A SUCCESS OR A FAILURE 2? THE PROBABILITY p Op SUCCESS IS THE SAME IN EVERY TRIAL 3) THE TRIALS ARE INDEPENDENT: THE OUTCOME OF ONE TRIAL HAS NO INFLUENCE ON LATER OUTCOMES- 74
STARTING WITH A BERNOULLI TRIAL, WITH PROBABILITY OF p, LET’S BUILP A NEW RANPOM VARIABLE BY REPEATING THE BERNOULLI TRIAL. The binomial random variable X IS THE HUMBCR OF WCC&ttt IN n REPEATEP BERNOULLI TRIALS WITH PROBABILITY p OF SU&TESS. AN EXAMPLE OF A BINOMIAL RANPOM VARIABLE IS THE NUMBER OF HEAPS (SUCCESSES? IN TWO FLIPS OF A £OIN. HERE n -2 ANP p~.5 k* NUMBER OF SU^ESSES РгбХ-ZJ .25 .5 .25 О 1 2 ANOTHER EXAMPLE IS PE MERE’S FIRST GAMBLE’. TOSSING A SINGLE PIE FOUR TIMES IN A ROW. SU66ESS MEANS ROLLING A 6. THE PISTRIBUTION IS: UM- THE PtSTRlBOWN VlMAT 16 TU£ PROBABILITY Op R0LLIH6 b'** 1Ц 4 ROL15 ? 75
IN GENERAL, WHAT’S ТИС PROB- ABILITy PISTRIBUTION OF ТИС BINOMIAL FOR АМУ PROBABILITY p ANP NUMBER OF TRIALS n? A PROBABILITY CALCULATION 6IVES THE ANSWER: THE PROBABILITY OF OBTAINING k. SUCCESSES IN П TRIALS, IS HERE $), REAP *n CHOOSE k? IS THE BINOMIAL COCFFlClCNT. IT COUNTS ALL POSSIBLE WAYS OF 6£TTIN£ k. SUCCESSES IN n TRIALS. EACH INPIVIPUAL SEQUENCE OF k SUCCESSES ANP n-k FAILURES HAS PROBABILITY рЧ^-рУ'*, ВУ THE MULTIPLICATION RULE. THERE ARE (%) OF THESE SEQUENCES. THE FORMULA FOR IS WHERE n! - ... Xi ANP O! IS TAKEN TO BE 1. FOR INSTANCE, (*), THE NUMBER OF POSSIBLE WAYS TO CHOOSE TWO LETTERS FROM A SET OF FOUR LETTERS, IS шт AB Ac AD BC BD CD fA} ~ 41 _ 24 , / " 2'21 " 4 " 6 76
ANOTHER VIEW OF THE BINOMIAL COEFFICIENTS 1$ IN PAMAL'4 TRIAU6LC. EACH ENTRY 1$ THE SUM OF THE TWO NUMBERS JUST ABOVE IT. 1 10 45 120 210 252 210 120 *45 Ю 1 1 11 55 165 330 462 462 330 165 55 11 1 1 12 66 220 495 792 924 792 495 220 66 12 1 ETC. TO FINO (%), JUST COUNT POWN TO ROW n ANP OVER TO ENTRY k (REMEMBERING ALWAYS TO START COUNTING FROM ZERO/ <____________________________________________________,_________________J WHEN p ~ .4, THE BINOMIAL'S PROBABILITY PISTRIBUTION IS PERFECTLY SYMMETRICAL. FOR 6 COIN FLIPS, FOR INSTANCE, ITS k. * #HEAPS О 1 2 3 4 5 6 (4)fc (ift № at» (ifb (if WITH THIS HISTOGRAM: 1 77
THE MEAN ANP VARIANCE OF THE BINOMIAL PISTRIBUTION ARE yU - Z7/? €Гг ~ np(V-p) NOTE THAT THE MEAN MAKES INTUITIVE SENSE: IN n BERNOULLI TRIALS, THE ЕХРЕОГЕР NUMBER OF SUdZESSES SHOULP BE np. THE VARIANCE FOLLOWS FROM THE FA£T THAT THE BINOMIAL IS THE SUM OF n INPEPENPENT BERNOULLI TRIALS OF VARIANCE p(y-pY THE PARAMETERS OF THE BINOMIAL PISTRIBUTION ARE П ANP p. THE PISTRIBUTION, MEAN, ANP VARIANCE PEPENP OHLY ON THESE TWO NUMBERS. TABLES OF THE BINOMIAL PISTRIBUTION APPEAR IN MOST TEXTBOOKS ANP COMPUTER PROGRAMS. HERE IS A TABLE FOR 77 = IP. VALUE* OF Pr(X~4) к 01 234 56789 10 .1 0.349 0.387 0.194 0.057 0.011 0.001 0.000 0.000 0.000 0.000 0 000 .25 0.056 0.188 0.282 0.250 0.146 0.058 0.016 0.003 0.000 0.000 0.000 P .50 0.001 0.010 0.044 0.117 0.205 0.246 0.205 0.117 0.044 0.010 0.001 .75 0.000 0.000 0.000 0.003 0.016 0.058 0.146 0.250 0.282 0.188 0.056 .9 0.000 0.000 0.000 0.000 0.000 0.001 0.011 0.057 0.194 0.387 0.349 is
BUT CALCULATING THESE THINGS FOR LARGE VALUES OF n CAN BE A PAIN... OR AT LEAST, IT WAS BACK IN THE 10th CENTURY, WHEN JAMES BERNOULLI ANP ABRAHAM PE MOIVRE WERE TRYING TO PO IT WITHOUT A COMPUTER. DEPLOYING A NEWLY INVENTEP WEAPON, THE CALCULUS, PE MOIVRE SHOWEP THAN WHEN p =.5, THE BINOMIAL PISTRIBUTION WAS CLOSELY APPROXIMATED BY A CONTINUOUS PENSlTY FUNCTION WHI^H LOULU BE PES6RIBEP VERY SIMPLY. TO SEE HOW THIS WORKS, IMAGINE THE BINOMIAL PISTRIBUTION WITH = .5 ANP Z? VERY LAR6E-A MILLION, SAY... ттТ1ППТ1ПТП'1ТПТ|Т1Т[Г 7?
NOW, SAIP PEMOIVRC, SLIPS THIS GRAPH OVER, 50 ITS MEAN IS ZERO. 5QUASH THE CURVE ALONG THE X AXIS UNTIL THE STANPARP PEVIATION BECOMES 1, WHILE STRETCHING IT ALONG THE у AXIS TO KEEP THE AREA UNPER IT EQUAL TO 1. ТИБ RESULT IS VERV CLOSE TO A SMOOTH, SYMMGTRItAl., BGLL-SUAPGP £URV£, WHICH PE^OIVRE SHOWEP WAS GIVEN ВУ THE SIMPLE FORMULA: THIS FUNCTION IS CALLEP THE standard normal distribution. (б M USEFUL MATHEMATICAL CON6TAUT APPROXIMATELY ft^UALTO 2-7'8.) (CONVINCE VOURSELF THAT THIS FUNCTION REALLV HAS A BELL-SHAPEP GRAPH. FOR Z FAR FROM ZERO, /(z) IS VERy NEARLy ZERO-IT HAS A BIG PENOMINATOR-, IT'S SVMMETRICAL, SINCE /?z) « /(-z), ANP IT HAS A MAXIMUM AT Z = O.) THE PISTRIBUTION IS CALLEP THE 6TAHPARP NORMAL BECAUSE ALL THAT SQUASHING ANP STRETCHING WAS SPECIALLV ARRANGEP TO GIVE IT THESE SIMPLE PROPERTIES, WHICH WE PRESENT WITHOUT PROOF: /л ~ О <r 1 Bo
TO SUMMARIZE РЕ MOIVRE, IF YOU “NORMALIZE" THE BINOMIAL PISTRIBUTION WITH p » 1/2—LC., CENTER IT ON ZERO ANP MAKE ITS STANPARP PEVIATION » 1, THEN IT aOSELX FITS THE STANPARP NORMAL PISTRIBUTION OTHER NORMALS, WITH PIFFERENT MEANS ANP VARIANCES, ARE OBTAINEP ВУ STRETCHING ANP SLIPING THE STANPARP NORMAL IN GENERAL, WE WRITE THE FORMULA THIS GIVES A SYMMETRIC BELL'SHAPEP PISTRIBUTION 6ENTEREP ON THE MEAN jn WITH THE STANPARP PEVIATION <r. HERE ARC TWO PIFFERENT NORMALS WITH THE REGIONS WITHIN THEIR STANPARP PEVIATIONS SHAPEP. 4 WITH SMALL <r2 4 WITH LARGE <rt 01
pg MOIVRE PROVE? THAT THE STANPARP NORMAL FITS THE (NORMALIZE?) BINOMIAL WITH p .5, ВОТ, IN FACT, IT WORKS FOR ДЛ/У VALUE OF p. GENERALLy; FOR АМУ VALUE OF p, THE BINOMIAL PISTRIBUTION OF n TRIALS WITH PROBABILITY p IS APPROXIMATEP BY THE NORMAL CURVE WITH /< = np ANP a ~ пр(У - /?). THIS IS ACTUALLY A LITTLE STRAN6-E. ALL NORMALS ARE SYMMETRICAL ANP BELL SHAPEP... BUT, AS WE SAW, BINOMIAL PlSTRIBUTlONS ARE HOT ^УMETRICAL WHEN p*S. BUT IT TURNS OUT THAT AS n 6-ETS LAR6-E, THE BINOMIAL'S ASYMMETRY IS OVERWHELMED AS YOU SEE IN THIS EXAMPLE: 82
IN FACT, PEMOIVRE'6 PISCOVERY ABOUT THE BINOMIAL 16 A SPECIAL CASE OF AN EVEN MORE 6-ENERAL RESULT, WHICH HELPS EXPLAIN WHY THE NORMAL IS SO IMPORTANT ANP WIPE6PREAP IN NATURE. IT IS THIS: "Fuzzy Central Limit Theorem": PATA THAT ARE INFLUENCEP ВУ МАМУ SMALL AMP UNRELATED RANDOM EFFECT* ARE APPROXIMATELY NORMALLY DISTRIBUTED. THIS EXPLAINS WHY THE NORMAL IS EVERYWHERE; STOCK MARKET FLUCTUATIONS, STUPENT WEIGHTS, YEARLY TEMPERATURE AVERAGES, S.A.T. SCORES: ALL ARE THE RESULT OF MANY PIFFERENT EFFECTS. FOR EXAMPLE, A STUPENT'S WEIGHT \*> THE RESULT OF GENETICS, NUTRITION, ILLNESS, ANP LAST NIGHT'S BEER PARTY. WHEN YOU PUT THEM ALL TOGETHER, YOU 6>ET THE NORMAL/ (REMEMBER, THE BINOMIAL IS THE RESULT OF n INPEPENPENT BERNOULLI TRIALS.) BS
THE Z TRANSFORMATION z “* cr dHAN6ES A NORMAL RANPOM VARIABLE WITH MEAN /< ANP STANPARP PEVIATION cr INTO A 5TAHPARP NORMAL RANPOM VARIABLE WITH MEAN О ANP STANPARP PEVIATION 1. THEN ALL WE NEEP TO FINP PROBABILITIES FOR АНУ NORMAL PISTRIBUTION IS THE SINGLE TABLE FOR THE STANDARD NORMAL f(z). г -2.5 -2.4 -2.3 -2.2 -2.1 -2.0 -1.9 -1.8 -1.7 -1.6 F(z) 0.006 0.008 0.011 0.014 0.018 0.023 0.029 0.036 0.045 0.055 Z -1.5 “1.4 “1.3 -1.2 “l.1~1.0 -0.9" -0T -0.7 -0.6 F(z) 0.067 0.081 0.097 0.115 0.136 0.159 0.184 0.212 0.242 0.274 Z -0.5 -0.4 -0.3 -0.2 -0.1 0.0 0.1 0.2 0.3 0.4 F(z) 0.309 0.345 0.382 0.421 0.460 0.500 0.540 0.579 0.618 0.655 Z (15 0.6 0.7 — 0?8 “ 6.9 1.0 1.1 1”2 13 1.4 F(z) 0.691 0.726 0.758 0.788 0.816 0.841 0.864 0.885 0.903 0.919 Z 1.5 1.6 1.7 18 1.9 2.0 2.1 2.2 2.3 2.4 F(z) 0.933 0.945 0.955 0.964 0.971 0.977 0.982 0.986 0.989 0.992 z 2.5~ F(z) 0.994 HERE F(a) = Pr(z $ л), THE AREA UNPER THE PENSlTY dURVE TO THE LEFT OF Z — Л. (WE dAN ALSO 6-RAPH THE dURVE у THE CUMULATIVE PROBABILITY. IT LOOKS LIKE THIS.; и
THE TABLE ALLOWS W> TO FINP THE PROBABILITY OF Z BEIN6- IN ANY INTERVAL a £ z $ b. IT 15 JUST THE PIFFERENCE BETWEEN THE AREAS F(b~) ANP F(a). SO, FOR EXAMPLE, Prf-1<z<1) = F(V-F(-f) - -6413-1567 PrO^2)^ l-f(2) U5IN0 THE SUBSTITUTION Z = , WE 6AM USE THE SAME TABLE TO FINP PROBABILITIES FOR OTHER NORMAL PlSTRIBUTlONS. NOW IT’S -JUST” ALGEBRA. Pv(X>|70^ = Prfx-M > I7o-I9g\ . ' <r j,o ' ~ Mz>i) FOR EXAMPLE, SUPPOSE STUPENT WEIGHTS ARE NORMALLY PISTRIBUTEP WITH A MEAN yU- Ko POUNPS ANP STANPARP PEVIATION СТ. 2P; THAT'S t-ffl), WHI6H WE 6AN REAP FROM THE TABLE AS I - .«413 « 1567 AREA- .\^Q1 \90 V70 A LITTLE LESS THAN ONE STUPENT IN SIX TIPS THE SCALES ABOVE I7P POUNPS. THE GENERAL RULE FOR £OMPUTIN6 NORMAL PROBABILITIES IS THEREFORE: Pr(a € X« />) =
HOW BAZK TO PE MOIVRE ANP HlS BINOMIAL APPROXIMATION... LET’S LOOK AT A BINOMIAL PISTRIBUTION WITH П ^25 TRIALS ANP p^5 (25 (OIN FLIPS, SAY). WE (AN COMPUTE (OR LOOK UP IN A TABLE? ANY PROBABILITY, FOR EXAMPLE, Pr(* $ 14). IT IS -7970 EXACTLY. NOW CALCULATE A NORMAL RANPOM VARIABLE X* WITH THE SAME MEAN p~np » (25)65) - 125 ANP STANPARP PEVIATION cr ~ np(\-p} ~ 25. 115 U AH, BUT WE (AN PO BETTER/ IF YOU LOOK (LOSELY AT THE FIRST HISTOGRAM, YOU SEE THE BARS ARE СБЫТБИБР ON THE NUMBERS. THIS MEANS Pr(X*$ 14) IS ACTUALLY THE AREA UNPER THE BARS LESS THAN % = 14.9- WE NEEP TO AMOUNT FOR THAT EXTRA 5, ANP IN FA(T, Pr(X*$ 145) = Pr(Z^ .0) .7001 A VERY 6OOP APPROXIMATION TO .7670 IN PEEP/
THAT LITTLE EXTRA 5 WE APPEP 15 £ALLEP THE continuity correction. WE HAVE TO INdLUPE IT TO 6>ET A 6OOP 6ONTINUOU5 APPROXIMATION TO OUR Pl5dRETE BINOMIAL RANPOM VARIABLE X. ГГ5 5UMMARIZEP ВУ THI5 ONE HIPEOU5 FORMULA- v Vftpa-p) Vnp(i-p) / WHEN 15 THI5 APPROXIMATION *6OOP ENOUGH?” FOR 5TATI5TIOAN5, THE RULE OF THUMB 15; WHENEVER n 15 BI6- ENOUGH TO MAKE THE NUMBER OF EXPE^TEP 5U66E55E5 ANP FAILURE5 BOTH 6-REATER THAN FIV& Пр > 5 and n(t-p) 5 YOU dAN 5EE FROM THE5E HI5TO6-RAM5 THAT THE FIT WHEN p Л1 15 MEPIO^RE OR WOR5E UNTIL n REMHE5 40, MAKING np^5 n-2t p~ 0.1 n^5ot p= Qi ИМО, 0.1 H
WHAT'S 50 6-REAT ABOUT THIS NORMAL APPROXIMATION? THE BINOMIAL PISTRIBUTION OCCURS COMMONLY IN NATURE, ANP IT ISN'T HARP TO UNPER- STANP, BUT IT CAN BE TIRESOME TO CALCULATE. THE NORMAL WHICH APPROXIMATES IT МАУ BE LESS INTUITIVE, BUT IT'S VERY EASY TO USE. THE ^'TRANSFORM CONVERTS ЛА/У NORMAL TO THE 6TANPARP MORTAL, ALLOWING US TO REAP PROBABILITIES STRAIGHT OUT OF A SINGLE NUMERICAL TABLE.
♦Chapter 6* SAMPLING ВУ NOW, AFTER А 6ТЕАРУ PIET OF COINI PICE, ANP ABSTRACT IPEA1 УСУ МАУ BE WONPERIN& WHAT ALL THIS STATISTICAL EQUIPMENT WEVE BEEN BUILPIN6- HAS TO PO WITH THE R£AL WORLD- WELL, NOW WE’RE FlNALLy 6OIN^ TO FINP OUT... IN THIS CHAPTER, WE BE6-IN LOOKING AT THE REAL BUSINESS OF STATISTICS, WHICH IS, AFTER ALL, TO SAVE PEOPLE Т1МБ ANP MOAtfX PEOPLE HATE TO WASTE TIME POIN6- UNNEtSMARY WORK, ANP ONE THIN6- 5TATI6TlC^ CAN PO TELL U5 ЕХАСТЕУ HOW LA/У WE CAN AFFORP TO BE.
THE PROBLEM WITH THE WORLP & THAT THE COLLECTIONS OF STUFF IN IT ARE SO LARGE, IT’S HARP TO GET THE INFORMATION WE WANT: PICKLES: WHAT’S THEIR AVERAGE LENGTH? VOTING POPULATIONS: WHAT PERCENTAGE FAVORS EACH CANPIPATE? THE PICKLE-JAR MAKERS NEEP TO KNOW! THE INPUSTRIOUS, HARP-WORKING, SIMPLE-MINPEP BEAVERLIKE WAY TO ANSWER THESE QUESTIONS WOULP BE TO MEASURE EVERY SINGLE PICKLE IN THE WORLP 6SAY? ANP PO SOME ARITHMETIC. BUT WE AREN’T BEAVERS—WE’RE STATIfnOANf! WE’RE LOOKING 90
OUR METHOP 15 TO TAKE A 6AMPL5... a RELATIVELY SMALL SUBSET OF THE TOTAL POPULATION, THE WAY POLLSTERS PO AT ELECTION TIME. AN OBVIOUS QUESTION IS: HOW BIG A SAMPLE PO WE HAVE TO TAKE TO GET EVEN KNOW IT WAS ON THE BALLOT! ANP THE ANSWER, WHI^H YOU SHOULP INSCRIBE IN YOUR BRAIN FOREVERMORE, WILL TURN OUT TO BE: IF n IS THE NUMBER OF ITEMS IN THE SAMPLE, THEN EVERYTHING IS GOVERNEP BY GOVERNEP ВУ -7=? PIPNT 91
SAMPLING DESIGN BEFORE POIN6- THE NUMBERS, WE WOULP POINT OUT THAT THE QUALITY OF THE SAMPLE IS AS IMPORTANT AS ITS $IZ£. HOW PO WE ASSURE OURSELVES THAT WE’RE CHOOSING A REPRESENTATIVE SAMPLE? THE KLCCTIOM PROtCH IT4CLF IS CRITICAL FOR EXAMPLE, A VOTER SURVEY THAT SYSTEMATICALLY EXCLUPEP BLACK PEOPLE WOULP BE WORTHLESS, ANP THERE ARE A HOST OF OTHER WAYS TO RUIN, OR BIAS, A SAMPLE. NOT TO PROLONG THE MYSTERY, THE WAY TO £ET STATISTICALLY PEPENPABLE RESULTS IS TO CHOOSE THE SAMPLE AT rOndolYI. 92
THE SIMPLE RANDOM SAMPLE SUPPOSE WE HAVE A LAR6-E POPULATION OF OBJECT* ANP A PROCEPURE FOR SELECTING П OF THEM. IF THE PROCEPURE ENSURE* THAT ALL PO44IBLC 4A&PLS4 OF n OBJECT* ARE SQUALLY LIKSLY, THEN WE CALL THE PROCEPURE A Simple random sample. THE *IMPLE RANPOM *AMPLE HA* TWO PROPERTIE* THAT MAKE IT THE *TANPARP AGAINST WHICH WE MEA*URE ALL OTHER METHOP*: )UNBIA*EP: EACH UNIT HA* THE *AME CHANCE OF BEIN6- CHO*EN- At INPEPENPENC& SELECTION OF ONE UNIT HA* NO INFLUENCE ON THE *EL£CTION OF OTHER UNIT*. — UNFORTUNATELY, IN THE REAL WORLP, COMPLETELY UNBIA*EP, INPEPENPENT *AMPLE* ARE HARP TO FINP. FOR IN*TANCE, *URVEYIN6> VOTER* BY RANPOMLY PIALIN6 TELEPHONE NUMBER* I* BIA*EP- IT IGNORE* VOTER* WITHOUT A TELEPHONE ANP OVER*AMPLE* PEOPLE WITH MORE THAN ONE NUMBER.
л» Л EQUIVALENTLY, WE CAN PUT ALL THE NAME* ON CARP* ANP PULL n OF THEM OUT OF A PRUM. IT’* theoretically po**ible TO 6>ET A RANPOM *AMPLE BY BUILPIN6 А 5A/APUM6 FRAME: A LI*T OF EVERY UNIT IN ТИБ POPULATION. BY U*IN6 A RANPOM NUMBER GENERATOR, WE CAN PICK n OBJECT* AT RANPOM. BUT THI* I* NOT ALWAY* ЕА*У. MAKING TME FRAME МАУ BE PROHIBITIVELY CO*TLY, CONTROVER*IAL, OR EVEN IMPO**IBL£. FOR EXAMPLE, AN E.PA. WATER QUALITY *TUPY NEEPEP A * AM PLINC, FRAME OF LAKE* IN THE U.*., *0 THEN *ОМ£ВОРУ MA* TO PECIPE-. ARE THERE OTHER WAY* TO *AMPLE THAT ARE MORE CFFICICMT ANP CO$T- CFFCtTIVC THAN A *IMPLE RANPOM *AMPLE? Y£*-IF YOU ALREAPY KNOW *0METHIN6, ABOUT TME POPULATION. FOR IN*TANCE... *4
Stratified SAMPLING; PIVIPE THE POPULATION UNITS INTO HOMOGENEOUS GROUPS STRATA) ANP PRAW A SIMPLE RANPOM SAMPLE FROM EACH GROUP. 6>arlic Luis pickled peppers 6UCRKi(dS PGLIGH UAMPUP^EI? LETTUCE G1AUT fe Dills KfiGUEft Dills FOR EXAMPLE, THE POPULATION OF ALL PIOO.& CAN BE STRATIFIEP ВУ ТУРС OF PICKLC. WITHIN EACH ТУРЕ OR STRATUM, THE SIZE SHOULP BE LESS VARIABLE. <____________________________________________________________________> Cluster SAMPLING GROUPS THE POPULATION INTO SMALL CLUSTERS, PRAWS A SIMPLE RANPOM SAMPLE OF CLUSTERS, ANP OBSERVES EVERYTHING IN THE SAMPLEP CLUSTERS. THIS CAN BE COST-EFFECTIVE IF TRAVEL COSTS BETWEEN RANPOMLV SAMPLEP UNITS IS HIGH. AN EXAMPLE IS А С1ТУ HOUSING SURVEy WHICH PIVIPES А С1ТУ INTO BLOCKS, RANPOMLy SAMPLES THE BLOCKS, ANP LOOKS AT EVERy HOUSING UNIT IN EACH SAMPLEP BLOCK.
SAMPLING STARTS WITH A RANPOMLY ** J *1 * CHOSEN UNIT ANP THEN SELECTS EVERY k™ UNIT THEREAFTER. FOR INSTANCE, A HIGHWAY TRAFFIC 4TUPY MIGHT CHECK EVERY HUNPREPTH CAR AT A TOLL BOOTH. THIS PLAN IS EASY TO IMPLEMENT ANP CAN BE MORE EFFICIENT IF TRAFFIC PATTERNS VARY SMOOTHLY OVER TIME. excuse ме... vJooLD you MIKP AFT/ OR «1КТУ 6?U^TIOsl^>? Word of warning #1 MOST STATISTICAL METHOPS PEPENP ON TME INPEPENPENCE ANP LACK OF BIAS OF TME SIMPLE RANPOM SAMPLE. TME RESULTS AHEAP APPLY TO THE SIMPLE RANPOM SAMPLE ONLY. FOR OTHER SAMPLING PROCEPURES, TME RESULTS MUST BE MOPIFIEP. TME PETAILS APPEAR IN SPECIALIZEP SAMPLING TEXTBOOKS ANP COMPUTER ALGORITHMS. 9A
Word of warning #2: WITHOUT RANPOMIZEP PESIGN, THERE CAN BE NO PEPENPABLE STATISTICAL ANALYSIS, NO MATTER HOW IT IS MOPIFIEP. THE BEAUTY OF RANPOM SAMPLING IS THAT IT ‘STATISTICALLY GUARANTEES" THE ACCURACY OF THE SURVEY. DoH’T VJORfW’ A COMMONLY USEP METHOP IS ESPECIALLY PRONE TO BIAS: IT'S CALLEP AN Opportunity SAMPLE. AVOIPING ALL THE BOTHER OF PESIGNING A PROCEPURE, THE OPPORTUNITY SAMPLER JUST GRABS THE FIRST n POPULATION UNITS TO COME ALONG WE VOLUUTEEQEbf A CLASSIC EXAMPLE IS SHERE HITE'S BOOK, WOMGA/ ЛЛ/Р LOV£. WO ООО QUESTIONNAIRES WENT TO WOMEN’S ORGANIZATIONS CAN OPPORTlfMITY fMPLC), ONLY WERE FILLEP OUT ANP RETURNEP (R&POHK FMS). SO HER "RESULTS" WERE BASEP ON A SAMPLE OF WOMEN WHO WERE HIGHLY MOTIVATEP TO ANSWER THE SURVEY'S QUESTIONS, FOR WHATEVER REASON. Q1
SAMPLE SIZE & standard error HOW LET 6 6CT POWN TO BRA4S TACKB... REAL BRASS TAZKS, THAT IS- SUPPOSE THE BERNOULLI TACK FACTORY IS 6HURNIN6 OUT BRASS TAZKS, SOME OF WHIZH, INEVITABLY, ARE PEFECTIVE- THE ASTUTE REAPER WILL REZO^NIZE THIS AS A BERNOULLI SYSTEM- EAZH NEW TAZK IS THE OUTZOME OF A BERNOULLI TRIAL WITH SOME PROBABILITY p OF SUZZESS (!.£., BEIN6. PEFEZT-FREE? ANP PROBABILITY \-p OF FAILURE 6I.E-, BEIN6- PEFEZTIVEZ WE THINK OF THIS SITUATION AS IF THERE WERE A RIPPEN BUT REAL “BERNOULLI MACHINE" WHOSE PROBABILITY p bCNQRM THE OUTCOMES WE OBSERVE IN THE SO-6ALLEP “REAL WORLP." 9B
SINZE ТИБ BERNOULLI MACHINE 15 INVISIBLE, WE PONT KNOW WHAT p 15, BUT WE’P LIKE TO FINP OUT. 50 WE TAKE A Я4А/РОМ SAMFAf OF n TAZK5, ANP FINP THAT X OP THEM ARE O.K. NOW THE PROPORTION OF 5U66E55E5 IN THE SAMPLE 5H0ULP BE SOMEWHERE AROUNP p... 50 WE £ALL IT p, PRONOUNCE? ‘P-HAT." p 15 THE NUMBER OF 5U&X55E5 % IN THE SAMPLE, PIVIPEP ВУ THE SAMPLE SIZE П. FOR EXAMPLE, IF p WAS .05, ANP WE 5AMPLEP n -WOO TAZK5, МАУВЕ WE FOUNP 032 6O0P ONE5, MAKING p • .032. WE A5K-. MOW 6OOP 15 ТИ15 ESTIMATE? ANP WE AN5WER WITH ANOTHER QUESTION: WHAT P0E5 THE FIRST QUESTION MEAN?
№ CAN'T KNOW ТИБ PRECISE PlFFERENCE BETWEEN p ANP p, BECAUSE WE PONT KNOW THE VALUE OF p. TME REAL QUESTION IS THIS: IF WE TOOK AAW fAMPLtt OF 10OO TA0K4 ANP OBSERVEP p FOR EACH SAMPLE, MOW WOULP THOSE VALUES OF p BE PI5TRIBUTEP NROVHV p? IN FACT, THESE p VALUES ARE LOOKING MORE ANP MORE LIKE А RAA/POM KAR/AW-E; TME SELECTION OF TME Л-UNIT SAMPLE IS A RANPOM EXPERIMENT, ANP TME OBSERVATION p IS A NUMERICAL OUTCOME! I AlA B£COIAI№ fNUC?HTEN£P NOV»— I KNEVl \f yJODUV NOT e& PMHLE^... TO BE PRECISE, IF X IS TME NUMBER OF SUCCESSES IN TME SAMPLE, THEN X IS NOTHING BUT OUR OLP FRIENP TME BINOMIAL RANPOM VARIABLE СП TRIALS, PROBABILITY p)... ANP WE PEFINE TME OBSERVEP PROPORTION TO BE TME RANPOM VARIABLE X n RANPCM VARIABLE, LITTLE -p, IT^ MAUX FOR A PARTICULAR ^AM?L6! 516 P THE-
^KNOWING ALL ABOUT X, WE QUICKLY COHO-UPC A FEW FATTS ABOUT P: 1) THE MEAN OF P & £[ P] = p 2? THE STANPARP PEVIATION OF P IS ж vs V7T 3? FOR LARGE П, P IS APPROXIMATELY NORMAL. ANP THERE YOU WAVE IT ALLI THE OBSERVEP VALUES OF P WILL BE <XNT£REP ON p (NOT SURPRISINGLY?, ANP THEIR STANPARP PEVIATION, OR SPREAP, IS PROPORTIONAL TO TWAT MAGI6 HUMBER WE MEHTIONEP AT TWE BEGINNING OF THE CHAPTER: ANP, SINCE P IS NEARLY NORMAL, WE CAN USE OUR RULE OF THUMB TO CONCLUPE THAT APPROXIMATELY 60% OF ALL ESTIMATES WILL FALL WITHIN ONE STANPARP PEVIATION OF THE TRUE VALUE p. t'lA MEARuy 7 W-
GOING BACK ТО THE TACKS, WITH п * WOO ANP р =.95, WE GET A STANPARP PEVIATION OF = .0113 \ooo 50 WE EXPECT ABOUT 59% OF OUR ESTIMATES TO FALL IN THE NARROW INTERVAL .0307 « Д £ .0613 THE STANPARP PEVIATION OF P IS A MEASURE of the sampling error. AS WEVE SEEN, FOR THE BINOMIAL P, THIS SAMPLING ERROR IS INVERSELY PROPORTIONAL TO V7F. INCREASING THE SAMPLE SIZE ВУ A FACTOR OF 4 REPUCES THE SPREAP <r(P) ВУ A FACTOR OF 2. ALR^APV AT Л-ЮО, W SL^T(-p) \S> PCW SAMPLE SIZES FOR TACKS, p * 0.95 n 1 4 U 25 \OO wpoo 1 г 4 5 \O 100 <r(.p) .357 .1195 .099 .071 .0357 .0035 <r(P)^ LINGUISTIC NOTE; AN С5ТШТС IS A SINGLE MEASURE OR OBSERVATION. AN ESTIMATOR IS A RULE FOR GETTING ESTIMATES. IN THIS CASE, THE ESTIMATOR IS THE RANPOM VARIABLE P- — . n юг
MOST OF STATISTICS INVOLVES THE 4-STEP PROCESS WE'VE JUST WALKEP THROUGH; PEFJNE POPULATION WITH UNKNOWN PARAMETER FINP AN ESTIMATOR, IT* THEORETICAL SAMPLING PISTRIBUTION ANP STANPARP PEVIATION. REPORT THE RESULT ANP ITS STATISTICAL OR SAMPLING ERROR. ACTUALLY PRAW A RANPOM SAMPLE ANP FINP THE ESTIMATE. IOS
Sampling Distribution ef the MEAN JAR MANUFACTURERS WOULP LIKE TO KNOW THE AVCRA6S LENGTH OF A PICKLE WITHOUT EXAMINING EVERY CUCUMBER IN CALIFORNIA. THEY RANPOMLY SELECT n PICKLES ANP MEASURE THEIR LENGTHS Xn. BY NOW YOU MAY BE USEP TO THE IPEA THAT EACH Л, IS A RANPOM VARIABLE: THE NUMERICAL OUTCOME OF A RANPOM EXPERIMENT. IF jj. IS THE (UNKNOWN) MEAN PICKLE LENGTH, ANP cr IS THE STANPARP PEVIATION OF THE PIEKLC LENGTH PISTRIBUTION, THEN В[Х/] 'Л4 <r(X() = cr FOR EVERY i (BECAUSE %, COULP HAVE BEEN THE LENGTH OF ANY PICKLE). IOA 6TRANkE, wow MUCH VIE KNOW ABOUT RWOfA VARIABLE WE PlPrt'T EVEN KNOW WERE РДНРОМ VARIABLE* A MINUTE Д6Ю-
/------------------------------- NOW WE LOOK AT THE SAMPLE MEAN: THE AVERAGE LENGTH OF THE SELEOTEP PICKLES. IT'S A NEW RANPOM VARIABLE &IVEN ВУ: A” i 4- 4- ... 4- К n * n to BEFORE, WE'P LIKE TO KNOW ’MOW FLOSS’ THIS IS TO /г, MEANING, IF THIS SAMPLING WERE PONE MANY TIMES, WMATS THE PISTRIBUTION OF X? BECAUSE WE KNOW ABOUT Xv X2....ANP X„, WE ALSO KNOW THAT IO?
ГГ TURNS OUT THAT X IS ALSO APPROXIMATELY NORMAL' THIS FAMOUS RESULT IS CALLEP THE CENTRAL LIMIT THEOREM IT SAYS: IF ONE TAKES RANPOM SAMPLES OF SIZE Z7 FROM A POPULATION OF MEAN jbi ANP STANPARP PEVIATION cr, THEN, AS n 6-ETS LAR6-E, X APPROACHES THE NORMAL PISTRIBUTION WITH MEAN /z ANP STANPARP PEVIATION . THEN WHAT IS REMARKABLE ABOUT THIS? IT SAYS THAT RE6ARPLESS OF THE SHAPE OF THE ORIGINAL PISTRIBUTION <|N THIS CASE, OF PICKLE LENGTHS?, THE TAKING OF AVEWffS RESULTS IN A NORMAL. TO FINP THE PISTRIBUTION OF X, WE NEEP KNOW ONLY THE POPULATION MEAN ANP STANPARP PEVIATION. THE THREE PROBABILITY PENSITIES ABOVE ALL HAVE THE SAME MEAN ANP STANPARP PEVIATION. PESPITE THEIR PIFFERENT SHAPES WHEN n*W, THE SAMPLING PISTRIBUTIONS OF THE MEAN, X, ARE NEARLY IPENTICAL.
The t-distribution AMAZING AS THE CENTRAL LIMIT THEOREM IS, IT HAS AT LEAST TWO PROBLEMS. BUT SAMPLE SIZES ARE OFTEN SMALL, ANP cr IS USUALLY UNKNOWN. CERTAINLY, IN THE CASE OF THE PICKLES, WE HAVE НО IPEA HOW WIPELy THEIR LENGTHS VARY AROUNP THE AVERAGE. \___________________________________ ONE: ГГ PEPENPS ON A LAR6-E SAMPLE SIZE TWO- TO USE IT, WE NEEP TO KNOW cr. THE STANPARP PEVIATION. WHAT WE CAN PO IN THIS CASE IS TO Г5Т/А4ТГ cr BY TAKING THE 4TAHPARP PEVIATIOH OF THE SAMPLE, WHICH, VOU'LL RECALL, IS 6IVEN BY THE FORMULA i-1 THEN, IN PLACE OF THE RANPOM VARIABLE WE SUBSTITUTE S FOR cr, ANP PEFINE A HEW RAHPOM VARIABLE t ВУ 107
you CAN THINK OF THE RANPOM VARIABLE t AS TH£ BEST WC ZAN PO UNPCR TNC CIRCUMSTANCES. ITS PISTRIBUTION IS CALLEP STUPCNT'S t BECAUSE ITS INVENTOR, WILLIAM COSSET, PUBLISHER UNPER THE PSEUPONYM "STUPENT" MAKING THE ASSUMPTION THAT THE ORIGINAL POPULATION PISTRIBUTION WAS NORMAL, OR NEARLY NORMAL, "STUPENT WAS ABLE TO CONCLUPE: t IS MORE SPREAP OUT THAN Z. ITS “FLATTER" THAN NORMAL. THIS IS BECAUSE THE USE OF S INTROPUCES MORE UNCERTAINTY, MAKING t "SLOPPIER' THAN Z. THE AMOUNT OF SPREAP PEPENPS ON THE SAMPLE SIZE. THE GREATER THE SAMPLE SIZE, THE MORE CONRPENT WE CAN BE THAT S IS NEAR cr, ANP THE CLOSER t GETS TO z, THE NORMAL. GOSSET WAS ABLE TO COMPUTE TABLES OF t FOR VARIOUS SAMPLE SIZES, WHICH WE WILL SEE HOW TO USE IN THE FOLLOWING CHAPTER. Л IM THE ЗИ6ТТНЩК OF Wff 'Ml£ ALREtxVy f L J tob
IN THIS CHAPTER, WE CONS I PER EP A CENTRAL PROBLEM OF REAL-WORLP 5TATI5TI&: MOW TO SELECT A 5AMPLE FROM A LAR6-E POPULATION 50 THAT STATISTICAL ANALYSIS CAN BE VALIP. BESIDES THE "6OLP STANPARP" OF TME SIMPLE RANPOM SAMPLE, WE ALSO PESCRIBEP SOME OTHER SAMPLING SCHEMES THAT ARE USEP IN THE INTERESTS OF EFFICIENCY, COST, ANP PRACTICALITY. THEN, ASSUMING A SIMPLE RANPOM SAMPLE, WE CONSlPEREP MOW VARIOUS SAMPLE STATISTICS WERE PI5TRIWTEP. THAT IS, WE RE6-ARPEP TME ACT OF TAKING TME SAMPLE AS A RANPOM EXPERIMENT, 50 THAT ITS STATISTICS BECAME RANPOM VARIABLE*. WE FOUNP THAT SAMPLE PROPORTION* p WERE APPROXIMATELY NORMALLY PISTRIBUTEP, WHILE TME PISTRIBUTION OF TME SAMPLE MEAN X PEPENPEP ON TME SAMPLE SIZE. FOR LAR&E SAMPLES, TME PISTRIBUTION WAS APPROXIMATELY NORMAL, WHILE FOR SMALL SAMPLES, WE USE TME STUPENTS t PISTRIBUTION. 109
IN ТИБ NEXT TWO CHAPTERS, WE LOOK AT HOW TO USE THESE PISTRIBUTIONS TO MAKE ST4T/ST/^4A IMFCRCMC4; 6IVEN A SINGLE OBSERVATION, LIKE A POLITICAL POLL, HOW PO WE USE OUR KNOWLEP6-E OF p ANP X TO EVALUATE IT? 110
♦ Chapter 7< CONFIDENCE INTERVALS 111
РСЬ±) IM THE LAST CHAPTER WE LOOKEP AT SAMPLING- STARTING WITH A LARGE POPULATION, WE IMAGINE? TAKING- MANY SAMPLES, ANP WE PEPUCEP HOW SOME SAMPLE ESTIMATORS WERE PlSTRIBUTEP. IM THIS CHAPTER, WE PO THE REVERSE. GIVEN ONG SAMPLE, WE ASK THE QUESTION, WHAT WAS THE RANPOM SYSTEM THAT GENERATE? ITS STATISTICS? TUAT >k. well a ^iK^Le 0OK OF TAG KG, ANP THE RE6ULT6» of THE LAS-Т гЦА?Т£₽, WT^AM \d£ 112.
TMI5 SHIFT REPRESENTS A CHANGE IN OUR MOPE OF THINKING- FROM PEPUCTIVE REASONING TO IN P£PUfTIV£ R£A4ON!H&, № REASON FROM А HVPOTHESlS TO A CONCLUSION; •IF LORP FASTBACK COMMITTEP MURPER, THEN HE WOULP WIPE THE FINGER- PRINTS OFF THE GUN " ILJPUCTIV£ REA4ONIH6, ВУ CONTRAST, ARGUES MCKWARP FROM A SET OF OBSERVATIONS TO A REASONABLE HyPOTHESl* IN MANy WAVS, SCIENCE, INCLUPING STATISTICS, IS LIKE PETECTIVE WORK BEGINNING WITH A SET OF OBSERVATIONS, WE ASK WHAT CAN BE SAIP ABOUT THE SySTEMS THAT GENERATEP THEM. 10
ESTIMATING CONFIDENCE INTERVALS IS ONE OF THE MOST EFFECTIVE FORMS OF STATISTICAL INFERENCE, ANP ONE YOU SEE EVERY РАУ BEFORE ELECTION TIME... BUSINESS 4 HOLP М'У \Ut, Wrsoir I’M GOING into THE POLL IM6 IN A RECENT ELECTION SOMEWHERE, INCUMBENT SENATOR ASTUTE (ACCENT ON THE LAST SYLLABLE, PLEASE.') COMMlSSlONEP A POLL BY BETTER HOLMES RESEARCH. POLLSTER HOLMES PRAWS A SIMPLE RANPOM SAMPLE OF WOO ЫСК&& ANP ASKS THEM WHAT THEY THINK OF ASTUTE. A) HE’S SOP’S SIFT TO HUMANITY B) HE’S THE PElTY’S SPECIAL BLCSSINS ON MOST OF HUMANITY AFTER CENSORINS THE REMARKS OF A FEW SRUMPY OUTLIERS, HOLMES FlNPS THAT 990 VOTERS FAVOR HIS CLIENT, SENATOR ASTUTE. THIS IS THE SINSLE OBSERVATION. 114
AFTER A*TUTE £ALM* POWN, HOLME* EXPLAIN* WHAT HE MEAN* ВУ 99% tOUFIPCHCC; HE KNOW* THAT HI* E*TIMATION PROCEPURE HA* A 99% PROBABILITY OF PROPU6IN6 AN INTERVAL 6ONTAININ6 p, I.E., IN HI* МАЫУ VEAR* OF POLLING, p MA* FALLEN WITHIN THE 6OHFIPEN6E INTERVAL AROUNP THE OB*ERVEP VALUE, p, 99% OF THE TIME. 115
ЯТПМ6 BEMlNP THE TARGET 15 A BRAVE PETE6TIVE, WHO £AN’T 5EE TME BULL'Y- ЕУЕ. TME AR^MER YMOOTY A YIN6LE ARROW. KNOWING TME AR^MER’Y YKILL LEVEL, TME PETE6TIVE PRAWY A ORILE WITH W CM RAPlUY AROUNP TME ARROW. HE NOW MAY CQNFIPCMX THAT MI5 OR^LE IN^LUPEY THE CENTER OF TME BULL'5-ЕУЕ/ ME REAYONEP THAT IF ME PREW IP ОИ RAPlUY ORTLEY AROVNP Ж4Л/У ARROW*, MlY OR6LE5 WOULP IN^LUPE TME CENTER 95% OF TME TIME. (PROBABILITY U5E TME TERM $TO£MA$TI£ TO PESCRIBE RANPOM MOPEL5. IT’Y PERIVEP FROM TME 6REEK fTO6MZCf- TMAI, MEANING TO AIM AT A TAR6ET, OR 6UE55. FROM 5ТОЛ/О5, A target.; 116
HOLMES NOW TRANSLATES THE ARCHERY LESSON INTO THE LAN6UA6E WE PEVELOPEP LAST CHAPTER. Step One: SHOOT a LOT OF ARROWS A PROBABILITY CALCULATION FlNPS THE WIPTH OF THE “BULL'S-EYE." THE ESTIMATES p ARE OUR ARROWS. WE SAW THAT THE SAMPLING PISTRIBUTION OF p IS NEARLY NORMAL WITH MEAN p ANP STANPARP PEVIATION П SINCE THE CURVE IS NORMAL, WE USE THE Z-TRANSFORM ANP A STANPARP TABLE TO FINP THE WIPTH OF THE INTERVAL WITHIN WHICH 95% OF THE ‘ARROWS* WT. (WE’LL SEE EXACTLY HOW TO PO THIS IN A FEW PA^ES.) WE FINP THIS WIPTH TO BE 1-96 STANPARP PEVIATIONS*- 117
crCp") WHI6H BECOMES NOW WE PO SOME ALGEBRA. ВУ PEFINITION OF THE Z-TRANSFORM, WHl£H IS JUST ANOTHER WAX OF SAVINS- THAT 95% OF THE p "ARROWS” LANP BETWEEN p - 1.96 <r(p) ANP p + 1.96cr(p). NOW WE’RE IN A POSITION TO VIEW THE TARGET FROM BEHINPf ONE MORE TURN OF THE AL4EBRA 6RANK MAKES IT .97 = Pr(p-l-9*<pH ? ‘ p + l 9Wpi) HERE WE ARE PRAWINS 6IR6LES AROUNP A LOT OF ARROWS (IE, MAKING INTERVALS AROUNP p) ANP SAVING THAT 95% OF THEM ZOVER p. AR& Ml PiFFLRWt ЦОИ, But 1тЧ> оКДУ, \FB-ALLy... BUT THERE IS ONE TlNy PROBLEM... Wf POA/’T ACTUALLY KHOW THE SIZE OF THE BULL'S-EYE, BECAUSE WE PON’T KNOW p, ANP THE WIPTH IS A MULTIPLE OF cr(p'). 50 WE FUP6-E A LITTLE ANPJJSE THE STANPARP ERROR OF P: ^)sW Ул IN ITS PLA£E... IT’S 6LOSE ENOUGH- IT’S THE BEST WE ZAN PO... ANP IT ZAN EVEN BE THEORETlZALLy JU STI Fl EP' не
NOW THE FORMULA IS Ср - I96$£(p), p + t9t>^(pY), LETS STARE Al THIS A Minute... NOW OUR PROBABILITY CALCULATION IS PONE, ANP IT’S TIME FOR... A6AIN, THIS EQUATION PESCRIBES THE PROBABILITY THAT THE TRUE, FlXEP POPULATION PROPORTION FALLS WITHIN THE Л4А/РО/И INTERVAL IF WE SAMPLEP REPEATEPLY, THESE INTERVALS WOULP CCNQR p 95% OF THE TIME. Step Two: THE PETECTIVE WORK. IN A REAL POLL, HOLMES TAKES JUST ONE SIMPLE RANPOM SAMPLE OF WOO VOTES, FlNPS p .550, ANP WANTS TO INFER p. HE MAKES USE OF STEP ONE TO COMPUTE HE CONCLUPES THAT WE CAN HAVE 95% CONFIPENCE THAT p IS WITHIN THE RAN6E p * i.9t = 5?o ± .031 THIS IS WHAT POLLS MEAN WHEN THEY REFER TO THEIR "MARGIN OF ERROR." IN THIS CASE, HOLMES FOUNP THAT 519 p 561, IN OTHER WORPS THAT p 55% WITH A 3% MARGIN OF ERROR. (POLLS TYPICALLY USE A 95% CONFIPENCE LEVEL.) 119
THIS РА6-Е SHOWS ТИБ RESULTS OF A COMPUTER SIMULATION OF TWENTY SAMPLES OF SIZE n » Woo. № ASSUMEP THAT THE TRUE VALUE OF p .5. AT THE TOP YOU SEE THE SAMPLING PISTRIBUTION OF p (NORMAL, WITH MEAN p ANP BELOW ARE THE 95% 6ONFlPEN(E INTERVALS FROM EA£H SAMPLE. ON AVERAGE, ONE OUT OF TWENTY (OR 5%) OF THESE INTERVALS WILL NOT (OVER THE POINT p ~ 5. I l I I I I I 0.44 0.46 0.48 0.50 0.52 0.54 0 56 95% Confidence Intervals for p 120
ALTHOUGH 95% 6ONFIPEN6E 15 GOOP ENOUGH FOR NEW5PAPER POLL5, IT WT GOOP ENOUGH FOR SENATOR ASTUTE. HE WANT5 99%' HOW TO INZREA5E ZONFlPENZE? USIUG THE ARZHCRY TARGET, WE ZAN 5EE TWO WAY5; ONE 15 TO INCREASE THE SIZE OF THE CIRCLE YOU PRAW... ANP ANOTHER WOULP BE TO IMPROVE THE AIM OF TME ARCHER IN TME FIR5T PLAZE, 50 HER ARROW5 LANP ZLO5ER TO THE BULL'5-ЕУЕ- THE FIR5T METHOP 15 EQUIVALENT TO WIPENIN6 THE CONFIDENCE INTERVAL THE GREATER THE MARGIN OF ERROR, THE MORE CERTAIN YOU ARE THE TRUE VALUE OF p LIE5 IN THE INTERVAL. МАУВЕ IT’5 TIME TO 5EE EXACTLY HOW WE FINP THE ENP5 OF THE5E ZONFIPENZE INTERVALS. 121
THE RELEVANT NUMBER HERE WE U5UALLY CALL a. TT MEA5URE5 THE PlFFERENCE BETWEEN THE PE5IREP CONFIPENCE LEVEL ANP CERTAINTY. FOR EXAMPLE, WHEN THE CONFIPENCE LEVEL 15 95%, OR 0.95, a 15 05. 50 WE 5PEAK OF THE (1-а)Ю0% CONFIPENCE LEVEL FlNPINfr THE (l-a)'1OO% CONFIPENCE INTERVAL MEAN*; LOOK AT A 5TANPARP NORMAL CURVE, ANP FINP THE POINT* ±Z BETWEEN WHICH THE AREA I* 1-Л. WE CAN FINP х.ал 5TRAI6HT FROM THE 5TANPARP NORMAL TABLE 6РАС-Е В4Л IT’5 THE POINT WITH THE PROPERTY Pr(z »z ) = f /2 IN PARTICULAR, Pr(z - .025 -2.5 -2.4 -2.3 -2.2 -2.1 0.006 0.008 0.011 0.014 0.018 F(z) F(z) F(z) 112
Jv£r THE AH5(tep, PCEASe... HERE'S A LITTLE TABLE OF THE ERITI^AL VALUES FOR VARIOUS LEVELS OF £ONFIPEN£E- fbR THl*> LEVEL OF 6OMFIPENEE. Go OUT THIS MAH'/ -stahdarv P£VlATtOM6/ 1-а Л/2 .90 .90 .95 .99 .го .10 .05 .01 .10 .05 .025 .005 1.29 Ш 1.96 2.59 л 2 TO MAKE A 99% £ONFIPEN£E INTERVAL, WE USE THAT TABLE TO WRITE .99 = Pr(p - 256 SE(/?) $ p « p + 250SEC/?)} WHI^H WE SLOPPILV ABBREVIATE AS p-p± г.59
WIPENIN6 ТИБ INTERVAL IS ONE WAV' TO INCREASE OUR £ONFIPEN£E IN TME RESULT. AS WE MENTIONS?, ANOTHER WAV' WOULP BE TO SMOOT OUR ARROWS MORE ACCUfUmy. IF WE KNEW THAT THE ARCHER 6OT 95% OF HER ARROWS WITHIN 1 OF THE BULL'S-БУЕ, OUR ESTIMATES £OULP BE A LOT SHARPER/ 1Z4
TAKING A CONSERVATIVE GUESS OF = .5, HOLMES FlNPS П- COI)1 = (6-65)(.25) • 0001 = 16,641 WOO VOTERS GAVE A 3% ERROR WITH 95% CONFIPENCE. TO GET A 1% ERROR WITH 99% CONFIPENCE, HOLMES HAS TO SAMPLE 16,641 VOTERS! ON THE OTHER HANP, WHO CAN PLACE A VALUE ON PEACE OF MINP’ SO THEY PO THE POLL, ANP GO INTO THE ELECTION WITH 99% EOKFIPCWG. BUT... ALL THIS PROBABILITY STUFF IS ONLY GOOP BEFORE AN ELECTION. AFTER THE ELECTION, THE SENATOR IS EITHER 100% IN OR 100% OUT! ANP PESPITE EVERYTHING, SENATOR ASTUTE LOSES THE ELECTION... 125
WHAT HAPPENS? IS THAT POLITICIANS ARE NOT ELECTS? ВУ POLLS' f OUTRA^ous! Vp PASS A LAwl ASAiNST TH|S,|F I V16RE STILL <IN THE SENATE1 SOME PROBLEMS WITH POLLS, AS OPPOSE? TO ELECTIONS; RESPONSE BIAS; VOTERS МАУ LIE TO THE INTERVIEWER OR CHANGE THEIR MINPS BEFORE ELECTION РАУ. ALTHOUGH THE POLL IS AN UNBIASEV SAMPLE OF POTENTIAL VOTERS, THE VOTING BOOTH COUNTS ONLy ACTUAL I LOVE BOTH MAJOR PARTIES ДЫр ONLY VliSH I coulp Vote for both VOTERS. THERE IS NO WAY FOR A POLLSTER TO SET INSIPE A POTENTIAL VOTER’S HEAP ANP KNOW IF SHE’S 6OIN6- TO VOTE, IF SUE’S LXINS, OR IF SHE’S SOINS TO CHANSE HER MINP BEFORE ELECTION РАУ. LARSE SAMPLE SICES CANNOT REPUCE THESE KINPS OF ERRORS. 12b
ЯН6Е THESE ERRORS CAN BE LARGE, IT SELPOM PAYS TO TAKE sa A VERY LARGE RANPOM SAMPLE. IN THE LAST FIVE PR ESI PE MT! AL ELECTIONS, THE GALLUP POLL HAS INTER- VlEWEP FEWER THAN 4,DOO VOTERS FOR EACH ELECTION. УЕТ IN ALL FIVE ELECTIONS, THE GALLUP ORGANIZATION’S ERRORS IN PREPICTING THE PRESIPENTIAL ELECTION OUTCOME HAVE BEEN LESS THAN 2%. THEIR SUCCESS IS PUE TO THEIR USE OF ESTIMATORS THAT ACCOUNT FOR NON-RESPONSE, ANP ТНЕУ SCREEN OUT ELIGIBLE VOTERS WHO ARE NOT LIKELY TO VOTE. TO SUMMARIZE, ESTlMATEP PROPORTION = TRUE PROPORTION 4- BIAS -I- RANPOM SAMPLING ERROR. EVEN POLLSTERS HAVE LIMITEP FUNPS. THEY WISELY CHOOSE TO SPENP THEIR MONEY REDUCING BIAS, RATHER THAN INCREASING THE SAMPLES BEYONP 4,000 VOTERS. 127
Confidence Intervals for y, UP TO NOW, WE’VE BEEN LOOKING AT LONFlPENLE INTERVALS FOR A PROPOR- TION p OF A POPULATION. EXACTLY THE SAME REASONING WORKS FOR THE POPULATION MEAN p. IN THE LAST CHAPTER 6R W5), WE SAW THAT THE PISTRIBUTION OF SAMPLE MEANS Л IS APPROXIMATELY NORMAL, LENTEREP ON THE ALTUAL POPULATION MEAN p, WITH STANPARP PEVIATION WHERE <r IS THE POPULATION STANPARP PEVIATION. SO, FOR LAR6E n, .99 = PrC-1,96 $ г $ 1,96? - Рг6-1.96 $ 1.96? f TURUlM THF SAME AL#₽RA LRAuK AS MAIN, NOT KNOWING c, WE REPLALE <r WITH S, THE SAMPLE STANPARP PEVIATION; X — .95 - Pr(-1.96 -r-^- 1.96? THE_T£RM IS LALLEP THE SAMPLE' STANPARP ERROR, ANP WRITTEN 5E6U WE LONLLUPE THAT .95 = PrCX- 1.965E6X) « jj. s Л+ 1.965EW)
JUST AS BEFORE, WE HAVE FOUNP THAT THE RANPOM INTERVAL Л ± 1.96 CCNG& THE TRUE MEAN, /z, WITH PROBABILITY .95... 60 NOW WE CAN CALL IN SHERLOCK HOLMES TO MAKE A STATISTICAL INFERENCE BASEP ON A SIN6L£_6AMPLE OF SIZE n WITH MEAN
LET 5 REVISIT THE STUPENT WEIGHT PATA FROM CHAPTER 2, ASSUMING THAT THE П « 92 5TUPENT5 WERE A SIMPLE RANPOM SAMPLE OF ALL PENN STATE THE SAMPLE MEAN % WAS 145.2 LPS. ANP SAMPLE STANPARP PEVIATION 5 WA5 23.7. SO THE STANPARP ERROR IS ^ = ^=- = 2.47 ANP WE NOW HAVE 95% ZONFIPENZE THAT TME MEAN WEIGHT OF ALL PENN STATE STVPENTS FALLS IN THE INTERVAL Z ± 1.96SE<A? = 145.2 ± (1.96X2.47) = 149.2 ± 4.9 POUMP4 TO SUMMARIZE: FOR A SIMPLE RANPOM SAMPLE (SRS) OF LAR6E SIZE, THE ZONFlPENZE INTERVAL IS: POPULATION WAN p p. ~ X ± Zg.SE^) 2 WHERE SEC#) » POPULATION PROPORTION, p P ~ P ± ^a^(p) 2 WHERE SE(^) - THE SIZE OF BOTH INTERVALS IS 6ONTROLLEP ВУ THE LEVEL OF 6ONFIPEN^E (1-а)-Юа% ANP THE SAMPLE SIZE, n. 130
Student's t (again!) AS WE SAW IN CHAPTER 6, THE STATISTIC HAS AN APPROXIMATELV NORMAU DISTRIBUTION ONLY WHEN IT IS COMPUTED USING A LARGG 4AMPLG FOR SMALL SAMPLES Cz?=5, W, THIS IS NO LONGER THE CASE, AND WE HAVE TO USE THE STUDENT’S t LET’S LOOK AT t A LITTLE MORE CLOSELY. WE MENTIONED THAT THE t DISTRIBUTION IS MORE SPREAD OUT THAN THE NORMAL, AND THAT THE AMOUNT OF SPREAD DEPENDS ON THE SAMPLE SIZE. О WHAT ITS DISCOVERER 6OSSET DID WAS TO QUANTIFY THIS RELATIONSHIP. IF n IS THE SAMPLE SIZE, HE SAID, THEN CALL Л-1 THE NUMBER OF degrees of freedom OF THE SAMPLE. THE GENERAL IDEA; GIVEN n PIECES OF PATA %(1 %2, YOU USE UP ONE “DEGREE OF FREEDOM” WHEN YOU COMPUTE % , LEAVING Л-1 INDEPENDENT PIECES OF INFORMATION.
6OSSET tOMPUTGP TABLES OF THE t PISTRIBUTION FOR PIFFERENT SAMPLE SIZES—I.E., PE6-REES OF FREEPOM. WE REPEAT, THE MORS PG6RSS5 OF FRGGPOM, THE ZLOSER t BECOMES TO THE STANPARP NORMAL. KNOWING THE SAMPLE SIZE 77, WE ZHOOSE THE t PISTRIBUTION WITH 77-1 PE6-REES OF FREEPOM. AS WITH THE z PISTRIBUTION O.E., THE STANPARP NORMAL), WE 6ET A 95% ZONFlPENZE LEVEL ВУ FINPIN6» THE ZRITIZAL VALUE BEYONP WHIZH THE AREA UNPER THE ZURVE IS .025. AREA _ t-olS THE ZURVE \£, PLANTER ТНМ NORMN-, t.cnS father FKo/A \^O THAH ’Z’.pif,, FOR A (1-a)-1OO% ZONFlPENZE INTERVAL, WE FINP THE ZRITIZAL VALUE ta SUZH THAT Pr(t£ ta) - v • HERE IS A SHORT TABLE OF ZRITIZAL VALUES FOR THE t PISTRIBUTION: 1-a .eo .90 .95 .99 a .20 .10 .05 .01 a/2 .10 .05 .025 .005 PE6-REES OF 1 3.09 6.31 12.71 63.66 FREEPOM 10 137 1.01 2.23 4.14 30 1.31 1.70 2.OA 2.75 loo 1.29 1.66 1.90 2.63 GO 1.20 1.65 1.96 2.50
EACH COLUMN REPRESENTS A FlXEP LEVEL OF CONFIPENCE, WITH INCREASING NUMBERS OF PEGREES OF FREEPOM. THE HIGHER THE PEGREES OF FREEPOM, THE CLOSER THE CRITICAL VALUE GETS TO za/, THE CRITICAL VALUE OF THE NORMAL PISTRIBUTION WE PERIVE THE WIPTH OF OUR CONFIPENCE INTERVAL PIRECTLX FROM THE PEFINITION OF t- t - -'tL THEN, FOR CONFIPENCE LEVEL (1-a) = Pr(^-'ta$Q(X) $ /z FROM WHICH WE INFER GIVEN A SlNGLE_SAMPLE OF SIZE n ANP MEAN X, WE CAN BE CONFIPENT THAT THE POPULATION MEAN /z FALLS IN THE RANGE r You- \ Will- ' MEMOplZE- 4TH(G- > /z = ШаК№ 'г WHERE SE6CJ = %, ANP ta IS THE CRITICAL VALUE OF THE t PISTRIBUTION WITH n-\ PEGREES OF FREEPOM. IIAVE* STRICTLY SPEAKING, IlV I E« THE PERIVATlON OF THE t PISTRIBUTION PEPENPEP ON THE ASSUMPTION THAT THE SAMPLE WAS FROM A NORMAL POPULATION IN PRACTICE, CONFIPENCE INTERVALS BASEP ON THE t WORK REASONABLY WELL, EVEN WHEN THE POPULATION PISTRIBUTION IS ONLY APPROXIMATELY MOUNP-SHAPEP 133
example: SUPPOSE OiMCLCON ЮТОМ HAS TO TRASH TEST ITS TARS TO PETERMINE THE AVERAGE REPAIR C&>T OF A \0 M.P.H. HEAP-ON TOLLlSlON. THIS IS EXPENSIVE! THEY PEOPE TO TRY IT ON JUST FIVE THEY FINP THE PAMA6E PATA TO BE $150, }4O0, $720, $500, ANP $930. THE SAMPLE MEAN: X - *540 THE STANPARP PEVIATION: 5 * 1299 YOU TAN ШК S WITH A HANP TALTULATOR. IT’S А/ +(720 -9^o'jL + (5оо-6ЦоТН93о-^%Уь) SO WHERE TAN WE PLATE THE MEAN WITH 95% TONFlPENTE? WE FINP OUR CRITICAL VALUE t.M5 WITH 4 PE6-REES OF FREEPOM-- 1-a .00 .90 .95 .99 a .20 .10 .05 .01 a/2 .10 .05 .025 005 PETREES OF 1 3.09 6.31 12.71 63.66 FREEPOM 2 1.09 2.92 4.30 9-92 3 1.64 2.35 3.10 5.04 4 1.53 2.13 2.70 4.60 5 1.40 2.01 2.57 4.03 1M
ANP PLU6 IT IN: - 540 * 372 50 THE BE5T WE CAN 5АУ WITH 95% CONFIPENCE 15 THAT THE AVERAGE PAMA6E WILL LIE BETWEEN $160 ANP $912. 01УТ O/t CobtflDENT TtUT It'Ll C№T tXALTLV »3Co, • THE COMPANY CAN EITHER BE 5ATI5FIEP WITH THAT, OR PO FURTHER TE5T5- TO COMPUTE THI5 CONFIPENCE INTERVAL U5IN6 5TUPENT’5 t, WE HAVE MAPE AN UNtTATCP AHUftPTlON: № A55UMEP THAT CRA5H REPAIR CO5T5 ARE APPROXIMATELY AW/ULLX PltTRlBUTCP, I.E., IF WE CRA5HEP 1000 CHAMELE0N5, THE HI5TO6RAM OF REPAIR CO5T5 WOULP BE 5YMMETRICAL ANP M0UNP-5HAPEP- WE CAN NOT KNOW TN!$ FROM 5 PATA P0INT5 ALONE- BUT MAYBE YEAR5 OF EXPERIENCE WITH EARLIER M0PEL5 PROVIPE NORMALLY PI5TRIBUTEP CO5T HI5TC&RAM5 FOR FRONT ENP REPAIR5: INFORMATION WHICH WOULP TENP TO 5UPPORT OUR U5E OF 5TUPENT’5 t THt TAIL GRoviS BAC-K SV IT5CIT. 1ТЧ A FEATURE OH C'HAfAELEOkS-. 135
Г ТО 4UM UP (I), WE NOW HAVE THREE SIMPLE REOPES FOR FINPIN6 £ONFIPEN£C INTERVALS. FOR PROPORTIONS, OR MEANS WITH LAR6E SAMPLE SIZES, WE LOOK UP za IN A NORMAL TABLE. FOR MEANS OF SMALL SAMPLE SIZES (fSAV № FINP tft IN THE t TABLE. 2 IN ALL 6ASES, THE WIPTH OF THE INTERVAL IS THAT ^RITIdAL VALUE TIMES THE STANPARP ERROR: Z«$E(X) 2 2 г ANP EA^H OF THOSE STANPARP ERRORS IS PROPORTIONAL TO THAT MA6l£ NUMBER:
♦ Chapter 8 + HYPOTHESIS TESTING NOW WE ENTER A NEW AREA... GOVERNMENT, BUSINESS, ANP THE HARP ANP SOFT SCIENCES ALL USE ANP OFTEN ABUSE THESE TESTS OF SIGNIFICANCE. IT'S ALL ABOUT ANSWERING THE QUESTION, “6OULP TRE4E OBSERVATION REALLY RAVE O&URREP BY FRANCE?” e <3 137
WE BE6IN WITH AM EXAMPLE FROM THE LAW-- A COMPOSITE OF SEVERAL CASES AR6-UEP IM THE SOUTH BETWEEN I960 AMP 1900, IM WHICH EXPERT WITNESSES PRESENTER THE CASE FOR RAM ЫА6 IN JURY f£L££TtoN. PANELS OF JURORS ARE THEORETICALLY PRAWN AT RANPOM FROM A LIST OF ELIGIBLE CITIZENS. HOWEVER, IM SOUTHERN STATES IN THE '5oS ANP '60S, FEW AFRICAN AMERICANS WERE FOUNP ON JURY PANELS, SO SOME PEFENPANTS CHALLENGER THE VERPlCTS. ON APPEAL, AN EXPERT STATISTICAL WITNESS GAVE THIS EVIPENCE- 1 50% OF ELIGIBLE CITIZENS Л &(*)£) (в AHj? f WERE AFRICAN AMERICAN R А К X X к X Д Щ COULP THIS BE THE RESULT OF PURE CHANCE? 1ЭЙ
FOR THE SAKE OF ARGUMENT, SUPPOSE THAT THE SELECTION OF POTENTIAL JURORS WAS RANPOM. THEN THE NUMBER OF AFRICAN AMERICANS ON THE 06?-PERSON PANEL WOULP BE THE BINOMIAL RANPOM VARIABLE X WITH П *40 TRIALS ANP p *.5. W>&BR№ULL( TRIALS, EA^H WITH p 11 THUS, THE CHANCES OF 6ETTIN6 A JURY WITH ONLY 4 AFRICAN AMERICANS IS PrO<4/ WHICH WORKS OUT TO ABOUT .0000000000000000014 (I). SINCE THE PROBABILITY IS SO SMALL, THE PARTICULAR PANEL WITH ONLY FOUR BLACK MEMBERS IS 4TRON& CVIPENEC A6AINST THE ИУРОТНМН OF RANPOM TO PRIVE THE POINT HOME, THE STATISTICIAN NOTES THAT THIS SO THE JUP&E RCJSET4 THE ИУРОТИЕЯ* OF RANPOM SELECTION. PROBABILITY IS LESS THAN THE CHANCES 139
LET'S FOLLOW ТИС PROCESS A6A1N TO SORT OUT THE FOUR FORMAL 4TRP4 OF STATISTICAL HYPOTHESIS TESTING. Step 1. FORMULATE ALL НУРОТНЕ5Е5. Ho, THE NULL ЦУРОТНЕШ, IS USUALLY THAT THE OBSERVATIONS ARE THE RESULT PURELY OF CHANCE. Ha, THE ALTERNATE НУРОТИ&14, IS THAT THERE IS A REAL EFFECT, THAT THE OBSERVATIONS ARE THE RESULT OF THIS REAL EFFECT, PLUS CHANCE VARIATION. Step 2. the test statistic. IPENTlFY A STATISTIC THAT WILL ASSESS THE EVIDENCE AGAINST THE NULL HYPOTHESIS. IN THE COURT CASE, Ho SAYS THE JURY WAS RANPO^LT CHOSEN ГКОН THE WHOLE POPULATION. AFRICAN AMERICANS HAVE PROBABILITY p- .50 OF BEIN6 CHOSEN.. Ha SAYS THAT AFRICAN AMERICANS ARE LESS LIKELY THAN THEIR PROPORTION IN THE POPULATION TO BE SELECTEP FOR A JURY PANEL p <50. IN THE COURT CASE, THE TEST STATISTIC IS THE BINOMIAL RANPOM VARIABLE X WITH p~.5O ANP ns- eo. 1*fr0
Step 3. P-VALUE: A PROBABILITY STATEMENT WHICH ANSWERS THE QUESTION: IF THE NULL HYPOTHESIS WERE TRUE, THEN WHAT IS THE PROBABILITY OF OBSERVING A TEST STATISTIC AT LEAST AS EXTREME AS THE ONE WE OBSERVEP? IN THE EXAMPLE, THE P-VALUE WAS Pr(X£4 | ANP г?»0Р) - 1.4 x IO'10 WE LOMPUTEP THIS P-VALUE THE MOPERN WAY, USING A STATISTICAL SOFTWARE PACKAGE. THE SMALLER THE P-VALUE, THE STRONGER THE EVIPCNCE ASAINST Mo. HORSE- PRAWN , COIWOteRSL Step 4. COMPARE THE P-VALUE TO A FlXEP flEMFltANCE LEVEL, a. a MV AS A CUT-OFF POINT BELOW WHICH WE AGREE THAT AN EFFECT IS STATISTICALLY SIGNIFI- CANT. THAT IS, IF P-VALUE $ a IN THE JURY CASE, THE STATISTICIAN TOOK a TO BE 3.6 x IO'10, THE CHANCES OF BEING PEALT THREE ROYAL FLUSHES IN A ROW. A P-N/ALlie EVEN A jUpfrE CAM THEN WE RULE OUT THE NULL HYPOTHEC H<> ANP AGREE THAT SOMETHING ELSE IS GOING ON. HI
IN SOENTlFl^ WORK, A FlXEP «-LEVEL OF .05 OR 01 IS OFTEN USEP. THESE FlXEP LEVELS ARE A HOLPOVER ARTIFACT FROM THE PRE COMPUTER ERA, WHEN WE HAP TO REFER TO TABLES, WHI6H WERE PRINTEP ONLY FOR SELECTEP CRITICAL VALUES. STILL, MANY SOENTIRE JOURNALS CONTINUE TO PUBLISH RESULTS ON LX WHEN THE P-VALUE $ 05. IN LE6AL PRO^EEPIN^S, THE STANPARP IS MORE FLEXIBLE- A Royal Flo^H— M 2
LARGE SAMPLE SIGNIFICANCE TEST FOR PROPORTIONS TME JURY EXAMPLE WA* A *PEOAL GA*£ OF A GENERAL PROBLEM TME KULL МУРОТМЕ*!* MAP TME FORM p ~ p0, WMERE p0 WA* 5OME PROBABILITY <IN TMI* GA*E, -5Л NOW LET’* LOOK AT *UGM PROBLEM* GENERALLY; LET’* 7E*7 7WE НУРОТИБШ p ~ p0. LARGE A4 U*UAL, WE IMAGINE WE MAVE A BIG POPULATION... WE OB*ERVE A *AMPLE... ANP WE FINP TMAT *OME GMARAGTERI*TIG OGGUR* WITM PROBABILITY p. 4 BA*EP ON TMI* OB*ERVATION, WE WANT TO KNOW IF TME TRUE POPULATION PROBABILITY I* 6FOR IN*TAN6E? LARGER TMAN *OME OTMER VALUE p0. FOR EXAMPLE, *ENATOR A*TUTE, MAYING FOUNP A p OF 54, WOULP LIKE TO KNOW TMAT p > .5, A WINNING MAJORITY. 143
Step 1. THE HULL HyPOTHESIS Ъ Hp ’• p - po THE ALTGRMATK HyPOTHESIS PEPENPS ON THE PIRECTION OF THE EFFECT WE ARE LOOKING FOR. IN SENATOR ASTUTE’S CASE, p > Po BUT IN OTHER CASES, THE ALTERNATE HyPOTHESIS MI6HT WELL BE •• p < po OR Ия: p*p0 FOR EXAMPLE, IN THE JURy SELEC- TION EXAMPLE, THE ALTERNATIVE HyPOTHESIS WAS p < 05 ANP AT OTHER TIMES, WE ARE INTERESTEP IN KNOWING THAT p IS PIFFERENT FROM SOME VALUE po- FOR INSTANCE, IN TESTING FOR A FAIR COIN, WE HAVE AN ALTERNATE HyPOTHESIS OF Ия : p*O5 Step 2 • THE TEST STATISTIC IS P~f* {рь(1-рьУ47Г WHICH MEASURES HOW FAR p FROM po. UNPER THE NULL HyPOTHESIS, Zow HAS THE STANPARP NORMAL PISTRIBUTION. Step 3 •THE P-VALUE PEPENPS ON WHICH ALTERNATE HyPOTHESIS IS RELEVANT; d) "RI^HT-HANPEP" Цл : p> po USES P-VALUE Pr(Z > zO6i) b) "LEFT-HANPEP" p < p0 USES P-VALUE PrCZ < zOB5) BUT HAVE NO A PRIORI OPINION ABOUT WHETHER HEAPS OR TAILS WILL COME UP MORE OFTEN. o c) TWO-SIPEP" Ил : p*po USES P-VALUE Pr(lzl > \zO6il) 14^1
IN THE CASE OF SENATOR ASTUTE; 1 ) THE HyPOTHESES ARE Ня ; ^>.5 3) HIS TEST STATISTIC IS THE SENATOR THUS REJECTS THE NULL HyPOTHESIS, ANP HE CANP HIS BACKERS) NOW FEEL CERTAIN HE’S IN THE LEAP. ZOBS * .55-50 - 3.16 3) HIS P-VALUE IS Рг(2>гм$) = Pr(z 2 3.16) -.0009 (FROM THE NORMAL TABLE). 4) ASTUTE. BEING FAIRLY CONSERVATIVE, TAKES A SIGNIFICANCE LEVEL a OF O\ ANP OBSERVES THAT Pr(Z> z^) = .0009 < a 145"
LARGE SAMPLE TEST FOR THE POPULATION MEAN HERE IS HOW A SIGNIFICANCE TEST MIGHT BE USEP IN IMPGCTION SAMPLING, AN IMPORTANT INPUSTRIAL APPLICATION. FfbL^ LIGHT, MAU- h£aw, /ЛАК- О MG GRANOLA INC. CLAIMS THAT THE AVERAGE WEIGHT OF ITS CEREAL BOXES IS AT LEAST 16 OZ. THE GGNUING GROCGRT CORPORATION WILL SENP BACK A SHIPMENT IF THE AVERAGE WEIGHT IS ANY LESS. BUT OF tOURtE GENUINE GROCERY HAS NO INTGNTION OF WEIGHING EVERY BOX IK A SHIPMENT. THEY’RE GOING TO USE STATISTICS' SUTISTU* 16 THE EA-sy UAY, REME/ABEI?? 146
FIRST, ТИБУ ОЮ&Е THEIR HYPOTHESES. H^: A * U OZ. Ня: /4 <16 OZ. REJECTING THE HOLL НУ?Р1И^16 MEAN* K^06lU6 THE 6RAUOLA- NEXT, THEY GHOOSE A TEST STATISTIG. BY NOW, IT SHOULP BE PRETTY MUGH A KNEE-JERK REACTION TO KNOW THAT THE SAMPLE SPREAP FROM THE MEAN ft g — M-p WHERE b & THE SAMPLE STANPARP PEVIATION. UN PER THE NULL HYPOTHESIS, THIS APPROXIMATES THE STANPARP NORMAL WHEN THE SAMPLE IS LARGE, BY THE CENTRAL LIMIT THEOREM. SKIPPING- OVER STEP 3 FOR A MOMENT, THEY SET A SlGNlFlGANGE LEVEL. BEING- A BUNGH OF PROPPEP-OUT SGIENGE MAJORS, THE GROGERS THINK a*.O5 SOUNPS ABOUT RIG-HT. JUST THEN, A BOXGAR LOAPEP WITH WftOO BOXES OF G-RANOLA ARRIVES AT THE POOR \ RgMCMgep the Number 5 yeah- 147
ТИБУ PULL OUT A SIMPLE RANPOM SAMPLE OF 49 BOXES, WEIGH EACH ONE, ANP PETERMINE THE SAMPLE’S SUMMARY STATISTICS: % * 15.90 07. 5 ~ 35 oz.. h LITTLE LIGHT—BUT SIGNIFICANTLY SO? THEY PLUG THE VALUES INTO THE TEST STATISTIC TO FINP 15.9-16 Zoess -2 NOW THEY COMPUTE TME P-VALUE'- Prcz < -г I Hp? ® . 0227 SEND IT THIS BEING LESS THAN THE .04 SIGNIFICANCE LEVEL, GENUINE GROCERY REJOtTTt THE NULL HYPOTHESIS, ANP THE SHIPMENT. " FLAKY ftOPFRo/1 Got w munchies, MAM-- I PIPN'T T^lMK АНУОЦБ WOUUP NOTICE IF I ATE A LITTLE FROM EVER/ 14B
SMALL SAMPLE TEST FOR THE POPULATION MEAN WE RETURN TO CHAMELEON MOTORS, ANP ITS to M.RH. CRASH TEST. ТИБ RI6UT£OU5 INSURANCE COMPANY WILL INSURE AN AUTO ONLY IF ТИБ MEAN REPAIR COST AFTER A to M-P.H. COLLISION IS LESS THAN $1ORO. THE COMPANY USES A STANPARP a = .05 AS ITS SIGNIFICANCE LEVEL. SO... Htf: A > iWOO Ня: JLL<tWOO MEAN COST IS TOO HIGH MEAN COST IS O.K. THE TEST STATISTIC IS THE t PISTRIBUTION SEC*) WHERE jn0 IS THE HYPOTHETICAL MEAN OF $1000 ANP WE WANT OUR OBSERVEP t VALUE TO LIE TO THE LEFT OF -t.05 ^BECAUSE LOW X IS PESIRABLE, X-yUp SHOULP BE NEGATIVE, TO SUPPORT Н«Л MS
FROM ТИБ TABLE OF CRITICAL a .05 .015 .005 1 6.31 12.71 (Л.ЬЬ 2 2.92 4.30 9.92 LU U _ LU LU ? 2.35 3.16 9.94 LU 4 2.13 2.70 4.60 5 2.01 2.57 4.03 t VALUES, WE SEE THAT t.05 » 2.1?, SO WE PECIPE TO REJECT Ho IF ioBf ~ "2.13 FROM CHAPTER 0, WE HAVE X = i5AO ANP * * $299 THE CAR PASSES THE TEST... Ho IS REJECTEP- ANP THE INSURANCE POLlCy I* ISSUEP. THIS IS AN EXAMPLE OF A€€£PTAN£E 5AMPLIH& THE NULL НУРОТНЕ*!* IS THAT REPAIR COSTS ARE UNACCEPTABLE, ANP THE MOTOR COMPANY I* ASSUMEP 6-UlLTy UNTIL IT PRESENT* SUFFICIENT EVIPENCE OF IT* INNOCENCE—!•£., THAT IT* PROPUCT I* WITHIN SPECIFICATION*. 150
DECISION THEORY Ж £AN THINK OF HyPOTHESIS TESTIN6 ANP SI6NIFI<AN4E TESTS IN TERMS OF A UOlHEHOLP 5MOKE-PETEETOR. IF YOU HAVE ONE OF THESE WHERE УОи LIVE, yoUVE PROBABLy NOTI^EP HOW IT TENPS TO 60 OFF EVERY TIME УОи MAKE THE TOAST TOO PARK/ THIS IS WHAT IS £ALLEP А 7УЯС I ERROR; AN ALARM WITHOUT A FIRE. CONVERSELY А ТУРЕ II ERROR IS A FIRE WITHOUT AN ALARM. EVERY COOK KNOWS HOW TO AVOIP А ТУРЕ I ERROR: JUST REMOVE THE BATTERIES UNFORTUNATELY THIS INCREASES THE INCIPENCE OF ТУРЕ П ERRORS' SIMILARLY REPUCIN6 THE CHANCES OF ТУРЕ П ERROR, FOR EXAMPLE ВУ MAKING THE ALARM HYPERSENSITIVE, CAN INCREASE THE NUMBER OF FALSE ALARMS. 151
WE CAN SUMMARIZE THIS IN A TWO-BY-TWO РБДЯОН TABLE. NO ALARM ALARM NO FIRE FIRE NO ERROR ТУРЕ II ТУРЕ I NO ERROR NOW THINK’ OF THE NULL HYPOTHESIS AS THE CONDITION OF KO FIRE, WHILE THE ALTERNATE HYPOTHESIS IS THAT A FIRE IS BURNING. THE ALARM CORRESPONDS TO REJECTION OF THE NULL HYPOTHESIS; TRUE STATE Hp Ид ACCEPT He REJECT NO ERROR ТУРЕ П ТУРЕ I NO ERROR ALL THE SIGNIFICANCE TESTS WE PIP EARLIER IN THIS CHAPTER EMPHASIZED THE PROBABILITY OF COMMITTING А ТУРЕ I ERROR-I.E-, THE PROBABILITY OF OUR OBSERVATIONS OCCURRING IF WAS TRUE. WE DEMANDED THAT ^REJECTING Hj Htf? - Рг(ТУР£ I ERROR I H#) = a 1-a MEASURES OUR CONFIPENCE THAT ANY ALARM BELLS WE HEAR ARE GENUINE. HIGH CONFIPENCE MEANS RARELY SETTING OFF FALSE ALARMS.
BUT 6OMETIME6 WHAT WE REALLV WANT TO KNOW 16 TME CHANCE OF MAKING А TYPE // ERROR/ IN OTHER WORP6, MOW 6EN6ITIVE 16 OUR ‘ALARM 6У6ТЕМ" WHEN TME ALTERNATE НУРОТНЕ616 16 TRUE? IN THE PA6T, FACTORIE6 PI6CHARGING CHEMICAL6 INTO WATERWAV6 WERE REOUIREP TO 6MOW THAT THE PI6CHARGE HAP NO EFFECT ON THE POWN- 6TREAM WILPLIFE. THAT’6 THE POLLUTER COULP CONTINUE A6 LONG A6 THE NULL НУРОТИЕ616 WA6 NOT REJECTEP AT THE .05 6IGNIFICANCE LEVEL 60 A POLLUTER, 6U6PECTIN6- THAT HE WA6 IN VIOLATION OF EPA 6TANPARP6, WOULP PEVI6E AN INEFFECTIVE POLLUTION MONITORING PROGRAM. 153
THE POLLUTER 15 PELIGHTER 5lN£E, LIKE OUR SMOKE ALARM WITHOUT A BATTERY, Hl5 TEST HAS LITTLE OR NO £HAN£E OF SETTING OFF AN ALARM. wRiye this cowN > '"THE ОМСК RESPONDED ENTHOSlASTKALLY" > LET $ FORMALIZE THIS IPEA. TO PE5ZRIBE THE PROBABILITY OF А ТУРЕ II ERROR, № BREAK OUT ANOTHER GREEK LETTER: BETA, OR Д fi * Р/YAOTPTlNG Hp |ИЯ? « РгСГУРБ II ERROR |ИЯ? THE POWER OF А TEST IS PEFlNEP AS \-fi- IT’S Prf REJECTING Нр |НЙ ). YOU'LL BE HAPPY TO KNOW THE ENVIRONMENTAL RE6ULATOR5 HAVE MOVEP IN THE PIREZTION OF REQUIRING POLLUTION MONITORING- PROG-RAM5 TO 5HOW THAT THEY HAVE A HIOH PROBABILITY OF PETEGTING- 5ERIOV5 POLLUTION EVENT5. THE REQUlREP POWER АКА1.УЯ4 OFTEN REVEAL5 HIPPEN FLAW6 IN THE MONITORING PROGRAM.
ONE WAV TO VISUALIZE THE EFFECT OF A TEST'S POWER IS ВУ GRAPHING THE PROBABILITy OF REJECTING Hp AGAINST THE ACTUAL STATE OF THE SVSTEM IN THE CASE OF A SMOKE ALARM, THE PROBABILITy CLIMBS TOWARP 1 AS THE SMOKE GETS THICKER. FOR THE E.P.A. WATER QUALITy EXAMPLE, THE HORIZONTAL AXIS IS THE TRUE CONCENTRATION OF POLLUTANT IN THE WATER. HERE ARE THE POWER CURVES FOR THREE MONITORING PROGRAMS. THE SAVE EVERY LAfT &Um С6ОЖ $9 MILLION), THE EOLPEH &EAN (CCW i9OO,OOO), ANP PON'T ROCK THE BOAT (ALSO COSTS i9OO,OOO, BUT ТНЕУ PUT ON A GOOP SHOW/). THE HIGHER THE TEST'S POWER, THE STEEPER THE CURVE. 155
WHY THEN PO you HAVE 6U£H AN EMPTY FEELINS IK YOUR ЯО/ШМ? BE£AU5E, TO USE THESE IPEAS IN ANY PRA£Tl£AL WAY, WE HAVE TO BE ABLE TO APPLY THEM TO A VARIETY OF SITUATIONS WE HAVEN’T EVEN TOU^HEP ON УБТ. TMAT ft WHERE WE ARE £OIK6 NEXT, WITH THE €OMPARI^ON OF TWO POPULATIONS \____________________________________________________________> 1%
♦ Chapter COMPARING TWO POPULATIONS IN WHI6H WE LEARN SOME NEW RECIPES U5IN6- OLP IN&REPIENTS... 157
гтпв TME LAST TWO CHAPTERS EXPLAINEP CONFIPENCE INTERVALS ANP HYPOTHESIS TESTING WITH TME 4TCAK AW POTATO& OF RANPOM MOPELS-. TME NORMAL ANP TME BINOMIAL PlSTRIBUTIONS. VJITIA IMG NORMAL TkE RotE of w Potatoes' BUT WMAT MAKES STATISTICS ALMOST AS CHALLENGING AS COOKING IS TME VARIETY. LIKE AN EXPERT COOK, TME STATISTICIAN CAN “TASTE” TME INGREPIENTS IN A PROBLEM ANP THEN FINP TME MOST EFFECTIVE WAY TO COMBINE THEM INTO A STATISTICAL RECIPE- (TME REASON COOKBOOKS ANP STATISTICAL METMOPS TEXTS ARE SO HEAVY IS THAT THEY BOTH PROVIPE SOLUTIONS IN A GREAT VARIETY OF SITUATIONS') 1S8
IN THIS CHAPTER, WE’LL USE OUR MEAT ANP POTATOES METHOPS IN SOME NEW RECIPES THAT WILL HELP US ANSWER THE FOLLOWING QUESTIONS; POES TAKING ASPIRIN REGULARLY REPUCE THE RISK OF HEART ATTACK? POES A PARTICULAR PESTICIPE INCREASE THE YlELP OF CORN PER ACRE? PO MEN ANP WOMEN IN THE SAME OCCUPATION HAVE PIFFERENT SALARIES? THE COMMON IN6REPIENT IN THESE QUESTIONS IS THIS; ТНЕУ CAN BE ANSWEREP ВУ COMPAR/Mtf TWO ЩРСРСЫРСМТ RANPOM 5AMPLZ5, ONE FROM EACH OF TWO POPULATIONS. ANP, AT THE ENP OF THE CHAPTER, WE’LL LOOK AT A PIFFERENT WAV TO COMPARE TWO MEANS THAT POESN’T INVOLVE TAKING TWO SIMPLE HO 169
Comparing SUCCESS RATES (or failure rates) for two populations. WE BEGIN WITH AN EXPERIMENT, PART OF A HARVARP STUPY, TMAT SOUGHT TO PEC! PE TME EFFECTIVENESS OF ASPIRIN IN REPUClNG HEART ATTACKS. AS IN MOST CLINICAL TRIALS, TME CHANCES THAT ANY ONE INPIVIPUAL GETS TME PISEASE—IN THIS CASE. A HEART ATTACK—IS VERY SMALL IN ANY GIVEN YEAR. PUT WE WANT ANSWERS QUICKLY.' WHAT PO WE PO? TAKE 20,000 <111 I ---------------------1— THE SIMPLE, BUT EXPENSIVE, SOLUTION IS TO TEST A LARGE NUMBER OF INPIVIPUALS IN A SHORT TIME. IN THIS STUPX, 22,071 SUBJECTS CALL VOLUNTEER POCTORS) WERE RANDOMLY ASSIGNEP TO TWO fROUPf. &ROUP ONE TOOK A PLACCBO-A PILL IPENTICAL TO ASPIRIN, BUT CONTAINING NO ASPIRIN. GROUP TWO RECEIVER ONE ASPIRIN А PAY.
OVER A PERIOP AVERAGING NEARLY FIVE YEARS*, TME INVESTIGATORS RECORPEP TME RESPONSES: HEART ATTACK OR NO HEART ATTACK. TME RESULT: (IN TME NUMBERS THAT FOLLOW, WE HAVE COMBINEP FATAL ANP NONFATAL HEART ATTACKS.? ATTACK NO ATTACK П ATTACK RATE PLACEBO 239 10,795 11,034 p, = = .0217 r’ 11/734 ASPIRIN 139 10,090 11,037 p- = ’39 = .0126 гг 11,037 THE OBSERVEP PIFFERENCE IN SUCCESS RATE IS А £?£?91 • 11 SMALL UNTIL YOU LOOK AT THE RELATIVE RISK, Py — =1-72. ,0126 MEMBERS OF TME PLACEBO GROUP WERE 1.72 TIMES LIKELIER TO SUFFER A HEART ATTACK THAN THOSE IN THE ASPIRIN GROUP. “THE 5TUPY WA5 5TOPPEP EARLY BECAUSE OF ITS POSITIVE OUTCOME. IT WOULP HAVE BEEN UNWISE ANP IMPRACTICAL TO PENY THE RESULTS TO THE GROUP TAKING TME PLACEBO. 161
The Model: THE PLACEBO ANP ASPIRIN 6-ROUP OBSERVATIONS ARE INPEPENPENT SAMPLES FROM TWO BINOMIAL POPULATIONS. FOR CONSISTENCY, WE REFER TO A HEART ATTACK AS A (I). PLACEBO POPULATION ONE CHANCE OF SUCCESS = P ASPIRIN POPULATION TWO CHANCE OF SUCCESS = p THE OBJECTIVE IS TO ESTIMATE THE TRUE PIFFERENCE, р}-рг- к__________________________________.___________________________ FOR EACH POPULATION (ACTUALLY LAR6-E SAMPLES OF THE GENERAL POPU- LATIONZ WE HAVE THE FAMILIAR RANPOM VARIABLES; у NUMBER OF SUCCESSES v 1 IN POPULATION ONE 2 л X< PROPORTION OF л X„ P s. —L SUCCESSES IN p -=. —±- 1 Z?1 POPULATION ONE 2 77 ANP AN ESTIMATOR OF PIFFERENCE IN RATE; P^ P2 NUMBER OF SU^ZESSES IN POPULATION TWO PROPORTION OF SU<ZESSES IN POPULATION TWO 162
Sampling distribution for Р,- P2 FOR LAR6-E SAMPLES, P,-P2 IS APPROXIMATELY NORMALLY PISTRIBUTEP, MUCH AS IN THE CASE OF ONLY ONE SAMPLE. WE CAN MAKE THE USUAL Z- TRANSFORM TO 6ET A STANPARP NORMAL RANPOM VARIABLE (APPROXIMATELY; . ^К'(РгРг> cr^-P,') BUT HOW PO WE FINP THAT STANPARP PEVIATION IN THE PENOMINATOR? SINCE THE TWO SAMPLES ARE INPEPENPENT, SO ARE THE RANPOM VARIABLES Pt ANP Рг, ANP THE TWO VARIANCES APP. a-(?, -Я) * I РЕСО/ШМР AH ASPIRIN To 6FT THROUGH THIS*.. ANP NOW, KNOWING THE PISTRIBUTION OF THE TEST STATISTICS, WE CAN PROCEEP TO ESTIMATE БОЫР1РБЫББ INTERVALS ANP ТБ4Т ТИБ НУРОТНБШ THAT ASPIRIN REPUCES HEART ATTACKS.
Confidence Intervals for — TO &ET THE 95% CONFIPENCE INTERVAL FOR THE ASPIRIN STUPy, WE JUST PLU6- IN THE OBSERVEP VALUES: P1-P2 AS USUAL. THE CONFIPENCE INTERVALS FOR OUR ESTIMATE LOOK LIKE THIS: рх~рг* .РР91±б1.94Х.РР175> ^.OQW + .ООЪА STANPARP ERROR TRUE PlFFERENCE OF POPULATION PROPORTIONS OBSCRVEP PIFFERENCE CRITICAL VALUE Р\~Рг THE VARIANCES OF P, ANP P2 APP, SO THE STANPARP ERROR BECOMES IN THE ASPIRIN STUPy, THE STANPARP ERROR IS WE ARE AT LEAST 95% CONFIPENT THAT THE DIFFERENCE IN HEART ATTACK RATES IS BETWEEN .0047 ANP .0125 DEFINITELY A POSITIVE NUMBER' WE ARE NOW AT LEAST 95% CONFIPENT THAT ASPIRIN REALLY POES LOWER HEART ATTACK RATES-
hypothesis testing THE FORMAL HYPOTHE5I5-TE5TIN6. QUE5TION 15 / IF ASPIRIN HAP > / NO EFFECT, WHAT [ IS THE PROBABILITY THAT THIS RESULT \ O<^URREP BY » \ 6HAN^E? J Ho, THE NULL НУРОТНЕ515,15 THAT ASPIRIN HAP NO EFFECT: px = pT He, THE ALTERNATIVE, 15 THAT ASPIRIN POE5 REPUTE THE HEART ATTACK RATE1 p\ >рг. HOW WE NEEP A TE5T STATISTIC WITH A NORMAL PISTRIBUTION WHEN Ho 15 TRUE... NOTE THAT UNPER Ho, THE TWO PROPORTIONS ARE THE 5AME, P- LET’5 POOL ALL THE PATA TO 6>£T THE PROPORTION OF HEART ATTACKS IN BOTH SAMPLES TOGETHER: л ~ Щ + Л2 WHEN THE NULL НУРОТНЕ515 15 TRUE, THE 5TANPARP ERROR PEPENPS ONLY ON THI5 POOLEP ESTIMATE: SEp6P,-P2; - ANP WE CAN WRITE A TEST STATISTIC: Z* SEp(P,-P2) (THE NUMERATOR WOULP ORPINARILY BE ^~^г~^Р~Р-2)' BUT Ho A55UME5 р~рг O.) FOR THE ASPIRIN 5TUPY, WE FINP л 370 22,071 5E0('Pt-P29 = -00175 so .0091 ^0B5= D0\15 = 165
Z0V> 15 MORE THAN FIVE 5TANPARP PEVIATIOW FROM ZERO, A STRONG- POSITIVE EFFECT. U5ING A TABLE OR A COMPUTER, WE FINP THE P-VALUE; P-VALUE = PR(Z> toei) ~ PR(Z> 5.2) * .OOOOOO] О £2_ IF THE NULL НУРОТНЕ515 WERE TRUE, THE PROBABILITY OF OBSERVING- AN EFFECT THI5 LARG-E 15 ONE /Л/ TEN MILLION-N&RY STRONG- EVIPENZE AGAINST H0H! The general recipe: THE RELEVANT P-VALUE PEPENP5 ON THE ALTERNATE НУРОТНЕ515: A? TWO-5IPEP Нл * рг TO TE5T THE NULL HYPOTHESIS H<2: - рг COMPUTE THE TEST 5TATI5TIG - Ру 'Pz P-VALUE - PrClZI >IZOB$D в; RI6HT Нл -р>рг (WHERE 5E0 15 COMPUTE? U5IN6- THE POOLEP PROBABILITY OBTAINEP ВУ 6OMBININ6 BOTH P-VALUE = Pr(Z > lo^ LEFT Нл :p<p2 P-VALUE = Pr( Z < ZOB$) 16b
THE ANALYSIS OF THE ASPIRIN STUPY PEPENPEP ON CERTAIN FEATURES OF THE EXPERIMENT PESI6NEP TO ENSURE RANPOMNESS ANP TO ELIMINATE BIAS: ^^T^THE EXPERIMENT WAS BLIMP; SUBJECTS PIPN’T KNOW IF THEY WERE TAKING ASPIRIN V OR PLACEBO. POINTS 1 ANP 2 ARE ESSENTIAL PARTS OF MOST HUMAN £LINl6AL TRIAL PESI6-NS, BUT POINT 3 IS NOT ESSENTIAL 6OOP SMALL- SAMPLE TESTS PO EXIST ANP ARE AVAILABLE IN COMPUTER SOFTWARE PACKAGES. THESE MOMPARAMCTRlt PROCEDURES PEPENP ON SIMPLE, BUT LENGTHY, PROBABILITY CALCULATIONS SIMILAR TO THE &AMBLIN6- COMPUTATIONS WE ENCOUNTEREP IN CHAPTER 4... uoyj > 1NWLT/N6- UM...WB MAO A^UMBP THAT POCTOHS kRE REPRESENTATIVE op THE 6EUERXL Population... 167
Comparing the MEANS of two populations SUPPOSE WE WANTEP TO COMPARE THE AVERAGE SALARy OF MALE ANP FEMALE EMPLOVEE5 IN THE SAME JOB AT SOME COMPANY POPULATION ONE 15 THE WOMEN, ANP POPULATION TWO 15 THE MEN. POPULATION ONE HA5 MEAN SALARy /z, ANP STANPARP PEVIATION <7] POPULATION TWO HA5 MEAN SALARy ANP 5TANPARP PEVIATION <Гг к RANPOM SAMPLE OF SIZE /7, FROM 6ROUP 1 ANP n2 FROM GROUP 2 6IVE5 SAMPLE MEANS OF %, ANP %2 ANP 5TANPARP PEVIATIONS 5, ANP S,, RESPECTIVELY THE ESTIMATOR OF ЛгЛг & л,-л2 160
HOW 6OOP AN ESTIMATOR IS Л,-Лг? FOR LAR6-E SAMPLE SIZES, IT’S APPROXIMATELY NORMAL (ВУ THE CENTRAL LIMIT THEOREM), ANP ITS STANPARP ERROR IS я(хгхг) s (THE VARIANCES АРР, SIN6E SAMPLES ARE INPEPENPENT.) NOW WE £AN PRO6EEP PIREOTLY TO: confidence нет(бич$-_ Look! Formula I1 intervals: FOR LAROE SAMPLE SIZES, THE (A-a)WO% £ONFlPEN£E INTERVAL FOR THE PIFFEREN6E BETWEEN MEANS IS А'Л - %t-%2 ± Za $E(X-X2) (?l64AT \U THE п, hypothesis testing: WE ASSESS THE NULL HYPOTHESIS THAT THE TWO POPULATION MEANS ARE EQUAL : Al = THE TEST STATISTIC IS _ Л,-Лг ANP THE P-VALUES WORK IN THE USUAL WAX
and how about comparing SMALL SAMPLE MEANS? REMEMBER 6HAM£L£ON №TOR4? THEIR COMPETITOR, l&UAMA AUTO, CLAIMS THAT ITS STYROFOAM HOOP ORNAMENT &IVES BETTER FRONT ENP CRASH PROTECTION, ANP THEY’VE CRASHEP t£V£M 16UAW& TO PROVE IT' X---------------------------------------------------------------------- 170
THE t DISTRIBUTION CAN BE USED IF BOTH POPULATIONS ARE MOUND SHAPED AND HAVE THE SAME STANDARD DEVIATION <7=<7, =cr2. THE ONLV WRINKLE IS THAT WE HAVE TO POOL THE SUM OF SQUARES ABOUT THE MEANS TO FORM A SINGLE ESTIMATE OF cr: Ъ _ бм)*'?' т %, Pw?L THE STANDARD ERROR IS THE SAME AS FOR LARGE SAMPLES, EXCEPT THAT Sp^L REPLACES S, AND S2= я(х,-х,) = $₽•«. , — — 4- - “ HJ- THE G-a>lDD% CONFIDENCE INTERVAL IS ”* i~'^2 ~ 2 WHERE ta IS A CRITICAL VALUE OF t WITH Щ-Пг-2 DEGREES OF FREEDOM. THE REPTILIAN CARMAKERS AGREE THAT THEIR STANDARD DEVIATIONS ARE CLOSE AND THEIR REPAIR HISTOGRAMS ARE MOUND-SHAPED. ТНЕУ COMPUTE; ^POOL ~ 4 7992 4- 6-32g2 W = wy/l^ = 194 THE 95% CONFIDENCE INTERVAL IS ^-^2 -5A0-300 + t^CKA) = 24D ± (2ЛЗХ154) 240 ± ЗАО SIN^E THIS INCLUDES THE VALUE O, IGUANA AUTOS HAS HOT SHOWN A SIGNIFICANT IMPROVEMENT IN REPAIR COSTS. 171
HERE’S AN EXAMPLE TMAT SHOWS THE PITFALLS OF MINPLESSLY FOLLOWING TME COOKBOOK A LAR6-E TAXI FLEET OWNER WANTS TO COMPARE TME 6AS MILEAGE USIN6 6A5 A ANP 6A5 9- < i'M A A'""> LAP6E OWNER VIITM A la(?6»& fleet.' \_______________________________________________________________________7 STARTING WITM WO U&5. ME RAN POM LY ASSIGNS 50 TO EA£M 6ASOLINE, ANP, AFTER A PAY’S PRIVIN6-, PETERMINES SAMPLE SIZE MEAN MILEAGE STANPARP PEVIATION A 50 25 5.00 В 50 26 A.00 172
OWING TO THE LARGE STANPARP PEVIATIONS, THE STANPARP ERROR IS PRETTY SUBSTANTIAL: ^бл-л2;- 4k Ль 1 a, - J 2^ Ik ~ ' V чю ‘So « 305 AT THE 95% CONFIPENCE LEVEL, WE HAVE Z*i—= Я?, ~~ i » -1 ± 6.96X.9P5) . -1 ± 1.774 THIS INCLUPES THE VALUE O, CORRESPONPING TO THE P-VALUE FOR THE ALTERNATE HYPOTHESIS, Ня: A*/U2,,$ Pr6lzl>lzoj? = Pr(lzl> ® Prdzl^l.O = 261357? - .2714 /'"'X TOTAL SHAPED / \ AREA x .1714 THIS ЕХ6ББР6 THE a » .P5 SIGNIFICANCE LEVEL, SO WE CONCLUPE THAT THE EVIPENCE IN FAVOR OF EITHER GAS IS VERY WEAK. - /./ /•/ 113
PAIRED COMPARISONS a better way to compare gasolines TME TAXI OWNER FOLLOWS? TME COOKBOOK EXACTLY. HIS SAMPLES WERE RANPOM, ANP MIS SAMPLE SIZE WAS LAR6-E ENOUGH- HE JUST FAILEP TO THINK WHEN NE^ESSARX' ALTHOUGH 6AS В APPEARS TO BE SLIGHTLY BETTER THAN 6AS A, TME ^ONFIPEN^E INTERVAL WAS WIPE BECAUSE OF TME LAR6-E STANPARP PEVIATIONS—I.E., TME VARIEP WIPELY FROM ONE OAB TO THE NEXT. WMY SU6M MI6-M VARIABILITY? BECAUSE ^ABS-ANP CABBIES—HAVE PIFFERENT PERSONALITIES! 174
A FAR BETTER WAY TO PO THIS STUPY 15 TO ASSIGN CAS A ANP CAS В TO THE MMG CA9 ON PIFFFRFNT РАУ5- WE STILL RANPOMIZE THE TREATMENT ВУ FLIPPIN6 A COIN TO PE6IPE WHETHER TO USE CAS A ON TUESDAY OR WEPNESPAY. WE CAN ALSO 6UT THE EXPERIMENT POWN TO 10 SAVINC THE OWNER A LOT OF TIME ANP MONEY.' my л CAB CAS A 6AS В DIFFERENCE To ToSSI J 1 27.01 26.95 0.06 2 20.00 2P.44 -0.44 3 23.41 25.P5 - 1.64 4 25.22 26.32 -1.10 5 30.11 2956 0.55 b 25.55 26.6P - 1.05 7 22.23 22.93 -0.70 6 19.76 2P.23 -0.45 9 33.45 33.95 -0.50 10 25.22 26.01 -0.79 MEAN 25.20 25.60 - 0.60 STANPARP PEVIATION 4.27 4.10 0.61 NOTE THAT THE MEANS ANP STANPARP PEVIATIONS OF CAS A ANP CAS В ARE ABOUT THE SAME. THAT’S TO BE EXPECTED, SINCE ТНЕУ HAVE THE SAME SOURCE OF VARIABILITY AS IN THE UNPAIREP EXPERIMENT. BUT NOW THE PIFFFRFNCF COLUMN HAS A VERY MALL STANPARP PEVIATION. THE DIFFERENCE COLUMN, ВУ COMPARINC CAS PERFORMANCE WITHIN A SINCLE CAR, ELIMINATES VARIABILITY BETWEEN TAXIS. \_____________________________________________________________________________7 П5
THE PlFFEREN^ES di PROVIPE A ЯЫЫ.Б MEASURE OF PlFFFRFHCF FOR £А£Ц TAXI, ANP WE £AN USE IT TO MAKE A SMALL-SAMPLE t TEST STATISTIC THE 95% dONFIPENdE INTERVAL AROUNP d IS А/ ~ — ^.029 (^d/]/7r) SAMPLE £RITI£AL STANPARP MEAN VALUE ERROR = -.60 ±.44 -104 SO WE HAVE -1.04 < p.d < -.16 WITH 95% dONFlPENdE, 6OOP EVIPENСE THAT 6-AS В REALLY IS BETTER. THE MVPOTMESIS-TESTIN6- P-VALUE <JAN BE FOUNP USIN6- A SOFTWARE PA<JKA6-E-. Нл-л^о P-VALUE = Prdtl > = PrCItl >£) Prdtl > 3.15) = .012 < .05 A6-AIN, 6.AS В PASSES THE TEST. 176
THE PREDOMINATE OF RI6MT- LEANIN6- LINES IS A STRONG HINT THAT 6A6 В GIVES BETTER MILEAGE. VlHAT RlMTLfcMWk LIHE^*? > 177
A PAIREP COMPARISON EXPERIMENT IS ONE OF TME MOST EFFECTIVE WAYS TO REPUCE NATURAL VARIABILITY WHILE COMPARING TREATMENTS. FOR EXAMPLE, IN COMPARING MANP CREAMS, TME TWO BRANPS ARE RANPOMLY ASSI6-NEP TO EACM SUBJECT’S RI6-MT OR LEFT MANPS. THIS ELIMINATES VARIABILITY PUE TO SKIN PIFFERENCES. OR, IN COMPARING TWO BREAKFAST CEREALS, EACM TASTER RATES BOTM CEREALS ON RANPOM ORPER). TME PAIREP COMPARISON REMOVES TME NATURAL BIAS OF TME TASTER FOR OR ASAINST CEREAL IN GENERAL- 178
IN THIS CHAPTER, WE APPLIEP THE BASIC I PEAS ABOUT CONFIPENCE INTERVALS ANP HYPOTHESIS TESTING TO THE COMPARISON OF TWO POPULATIONS. THERE ARE INNUMERABLE FURTHER POSSI- BILITIES. WE COULP HAVE 6ONE ON TO PESCRIBE COMPARISONS OR ф THE STANPARP PEVIATIONS OF TWO POPULATIONS WHEN SAMPLE SIZE IS SMALL, ф THE MEANS OF MORE THAN TWO POPULATIONS WHEN SAMPLE SIZE IS LAR6-E, ф THE MEANS OF MORE THAN TWO POPULATIONS WHEN SAMPLE SIZE IS SMALL, ETC! IN PRACTICE, STATISTICIANS PETERMINE THE GENERAL NATURE OF THE PROBLEM, ANP THEN CONSULT THE RI6-HT REFERENCE BOOK. I_______________________________——----------------------------------' THE ONLY THIN6- REALLY NEW IN THE CHAPTER WAS THE IPSA OF THE PAIRZP tOMPARMOU TE5T. IN THE NEXT CHAPTER, WE'LL LOOK AT SOME OTHER KINPS OF EXPERIMENTAL PESI6NS. IT?
180
♦ Chapter 10f EXPERIMENTAL DESIGN THE PESION OF AN EXPERIMENT OFTEN SPELLS SUCCESS OR FAILURE- IN THE PAIREP COMPARISONS EXAMPLE, OUR STATISTICIAN CHANOEP ROLES FROM PASSIVE NUMBER OATH ER I NO ANP ANALYSIS TO ACTIVE PARTICIPATION IN THE PESlON OF THE EXPERIMENT. you Ride FREE . МУ TIME- isi
IN THIS CHAPTER, WE INTROPUCE THE BASIC IPEAS OF EXPERI- MENTAL PESIGN, WHILE LEAVING THE PETAILEP NUMERICAL ANALySlS TO VOUR HANPy STATISTICAL SOFTWARE PACK. NO WMXMIN IMS СнМж- c\ THE ELEMENTS OF A PESIGN ARE THE EXPERIMENTAL UNIT* ANP THE TREATMENT* THAT ARE TO BE ASSIGNEP TO THE UNITS. THE OBJECTIVE OF ANY PESIGN IS TO COMPARE THE TREATMENTS- шюпшлпк FOR MEPICAL TRIALS, THE PATIENT* ARE THE UNITS, ANP THE PRU6* ARE THE TREATMENTS. IN THE MILEAGE EXAMPLE, THE EXPERIMENTAL UNITS ARE TAXICABS, ANP THE TREATMENTS TO BE COMPAREP ARE GAS A ANP GAS B. IN AGRICULTURAL EXPERIMENTS, THE EXPERIMENTAL UNITS ARE OFTEN PLOTS IN A HELP, ANP THE TREATMENTS MIGHT BE APPLICATION OF PIFFERENT WHEAT VARIETIES, PESTICIPES, FERTILIZERS, ETC.
ТОРАУ, EXPERIMENTAL PESlGN I PEAS ARE USEP EXTENSIVELY IM INPUSTRIAL PROZES5 OPTIMIZATION, MEPIZINE AMP SOZIAL SZIENZE- АМУ EXPERI- MENTAL PESlGN USES THREE BASIZ PRINZIPLES, WHICH ARE CLEARLY ILLUSTRATE? IM OUR CAB EXAMPLE' Replication: the same TREATMENTS ARE ASSIGN EP TO PIFFERENT EXPERIMENTAL UNITS. WITHOUT REPLICATION, IT’S IMPOSSIBLE TO ASSESS NATURAL VARIABILITY ANP MEASUREMENT ERROR. Local control refers TO ANY METHOP THAT ACCOUNTS FOR ANP REPUCES NATURAL VARIABILITY. ONE WAY IS TO GROUP SIMILAR EXPERIMENTAL UNITS INTO BLOZKS. IN THE CAB EXAMPLE, BOTH GASO- LINES WERE USEP IN EACH CAR, ANP WE SAY THAT THE CAB IS A BLOCK. Randomization: THE ESSENTIAL STEP IN ALL STATISTICS! TREATMENTS MUST BE ASSIGNEP RANPOMLY TO EXPERI- MENTAL UNITS. FOR EACH TAXI, WE ASSIGNEP GAS A TO TUESPAY OR WEPNESPAY ВУ FLIPPING A COIN. IF WE HAPNT, THE RESULTS COULP HAVE BEEN RUINEP BY PIFFERENCES BETWEEN TUESPAY ANP WEPNESPAY.' 183
MOW SUPPOSE WE WANT TO INVESTIGATE THE EFFEGT OF TWO BRAN PS OF TIRES AS WELL AS TWO GASOLINES WE HAVE FOUR POSSIBLE TREATMENTS, WHIGH WE aN LAV OUT IN A TWO-BY-TWO FACTORIAL PESIG-N. THE TWO FAGTORS ARE GAS ANP TIRE MAKE. WE GAN ASSIGN THE FOUR TREATMENTS AT RANPOM TO FOUR PIFFERENT PAYS FOR EAGH CM. ALU FOUR TREATMENTS (a, b, C, ANP d) ARE REPEATEP WITHIN EAGH BLOGK GGABZ THIS IS GALLEP A COMPLETE RAKPOMIZEP BLOCK v PESlGN., SO FAR, WE HAVE ASSUMEP THAT EVERY PAY OF THE WEEK IS THE SAME, BUT WE GAN CONTROL FOR THIS, TOO, IN THE FOLLOWING WAY; USE ONLY FOUR CAM, ANP ASSIGN THE TREATMENT AGGORPING TO THE TABLE AT RIGHT: PAY 1 2 3 4 GAB 1 a b c d 2 b C d a 3 c d a b 4 d a b c 194
A FOUR-BY-FOUR TABLE W/ГГИ FOUR PIFFERENT ELEMENTS, EAZH APPEARING ONCE IN EVERY COLUMN ANP ROW, ft CALLEP A Latin square. IN THIS EXPERIMENT, THE FOUR PAYS ANP FOUR CABS 6>£T ALL FOUR TREATMENTS EXACTLY ONCE. THE RANPOMIZATION STEP PICKS A SIN6LE LATIN SQUARE PESl&N AT RANPOM FROM A LIST OF ALL POSSIBLE FOUR- WAY LATIN SQUARES. IF FOUR UNITS ISN’T ENOUS-H, WE CAN INCREASE THE NUMBER OF EXPERIMENTAL UNITS BY REPEATING THE EXPERIMENTAL PESIE-N. STARTIN6- WITH EIS-HT CABS, WE COULP PIVIPE THEM INTO TWO GROUPS OF FOUR ANP THEN REPEAT THE PESI6N WITHIN EACH 6-ROUP. )B5
'w PROMI*EP HOT TO GO INTO THE PATA ANALY*I* IN ANY PETAIL, BUT HERE Л I* ROUGHLY HOW A GOMPLEX PE*IGN LIKE THI* I* HANPLEP. EXPERIMENTAL PE*IGN* ARE ANALYZEP ВУ ALLOCATING TOTAL VARIABILITY AMONG- PIFFERENT *OURGE*. IN THE GAB EXAMPLE, THE *OURGE* OF VARIABILITY ARE THE GAB, THE TIRE MAKE, GA* ТУРЕ, РАУ—ANP RANPOM ERROR ANALY*I* OF VARIANGE, АА/ОИ4 FOR *HORT PARTITION* THE TOTAL VARIATION, ALLOGATING- PORTION* TO EAGH *OURGE- IN THE NEXT GHAPTER, WE EXPLAIN IN PETAIL ONE MOPEL FOR ANALYZING GOMPLEX PE*IGN* THE LINEAR REGRESSION ANOPEL. IN LINEAR REGRE**ION, YOU’LL BE ABLE TO *EE AA/OVA VP GLO*E ANP NUMERIGAL... 166
♦ Chapter 11 ♦ REGRESSION 50 FAR, WE’VE POME STATISTICS ON ONE VARIABLE AT A TIME, WHETHER IT CAME FROM A POPULATION OF PILL TAKERS, PICKLES, OR CRASHEP CARS. IN THIS CHAPTER, WE’LL SEE HOW TO RELATE TWO VARIABLE* 6IVEN THE WE&HTf OF THE 92 STUPENTS |N CHAPTER 2, WE ASK HOW THEY ARE RELATEP TO THE STUPENTS’ HEI6HT* THIS 15 AN EXAMPLE OF A BROAP CLASS OF IMPORTANT QUESTIONS; POES BLOOP PRESSURE LEVEL PREPICT LIFE EXPECTANCY? PO M.T. SCORES PREPICT COLLEGE PERFORMANCE? P0E5 REAPING 5TATI5TIC5 BOOKS MAKE YOU A BETTER PERSON?
IN MATH /OU PROBABLY LEARNEP TO SEE RELATIONSHIPS PISPLAYEP AS 6RAPM. 6IVEN %, YOU CAN PREPICT v. BUT IN STATISTICS, THIN6-S ARE NEVER SO CLEAN' WE KNOW (OR SUPPOSE WE KNOW? THAT HEI6-HT HAS AN INFLUENCE ON WEIGHT— BUT IT'S NOT THE SOLE INFLUENCE. THERE ARE OTHER FACTORS, TOO, LIKE SEX, АСЕ, ВОРУ ТУРЕ, ANP Я4А/РО/И VARIATION. FOR THIS CHAPTER, LET'S LABEL THE WEI6-HT PATA AS у ANP THE HEIGHT PATA AS X. THUS (%,, y,J IS THE HEI6-HT ANP WEI6-HT OF STUPENT i. WE PISPLAY THE POINTS (X,, y,) IN A 2-PIMENSlONAL POT PLOT CALLEP A ^ATTERPLOT. (SOME OF THE POTS ARE BI6^ER, BECAUSE THEY REPRESENT TWO OR THREE STUPENTS WITH THE SAME HEIGHT ANP WEIGHT.? 100
6AM WE PREPI6T A STUPENTS WElG-HT у FROM HIS OR HER HEIGHT %? Regression analysis FITS A STRAIGHT LIME TO THIS MESS/ SGATTERPLOT. % IS 6ALLEP THE INPEPENPENT OR PREPICTOR VARIABLE, AMP у IS THE PEPENPENT OR RESPONSE VARIABLE. THE REGRESSION OR PREPIGTION LIME HAS THE FORM у - a+b% TO ILLUSTRATE THE FITTING PROCESS, LETS USE A SMALLER, RIGGEP PATA SET WITH ONLY А//А/Г STUPENT HEIGHT-WEIGHT PAIRS; HEIGHT WEIGHT bO 64 bl 95 64 140 66 155 66 119 70 175 71 145 74 197 76 150 200 - О) 'со 5 150 .0 250 П О ф О О О о 100 о о 50 60 65 70 75 height NOW HOW PO WE 6-ET THE BEST-FITTING- LINE? 169
THE IPCA IS ТО MINIMIZE ТИС TOTAL *PRCAP OF THE у VALUE* FROM ТИС LING. JU*T A* WHEN WE PEFINCP ТИС VARIANCE, WE LOOK AT ALL ТИС SQUAREP у PISTANOES FROM ТИС LING, ANP APP THEM UP TO 6GT ТИС OF SQUAREP ERRORS: n - Yjtyi-fa)2 i-1 IT’* AN A66RG&ATG MEASURE OF HOW MUCH ТИС LINE'* "PREPICTEP y,/ OR J,, PIFFCR FROM ТИС ACTUAL PATA VALUE* y,. Bifr **E The regression or least squares line I* THC LING WITH THC SMALLEST HI*TORlCAL NOTE'- WHY PO WE CALL THI* PROCEPURE REGRESSION ANALYSIS? AROUNP THE TURN OF THE CENTURA GENETICIST FRANKS GALTON PI*COVEREP A PHENOMENON CALLEP REGRESSION TOWARP THE MEAN. SEEKING LAW* OF INHERITANCE, HE FOUNP THAT SONS' HEIGHTS TENPEP TO REGRESS TOWARP THE MEAN HEIGHT OF THE POPULATION, COMPAREP TO THEIR FATHER*’ НБ16-НТ* TALL FATHER* TENPEP TO HAVE 5OMEWUAT *MORTCR SONS, ANP VICE VER*A 6ALTON PEVELOPEP REGRESSION ANALYSIS TO *TUPY THl* EFFECT, WHICH HE OPTlMI*TlCALLy REFERREP TO A* "REGRESSION TOWARP MEPIOCRITX'
МОТ ТО BEAT AROUMP THE BUSH, WE б-IVE WITHOUT PROOF THE REORE55IOM LIME'* FORMULA: ГГ$ МЕ55У BUT COMPUTABLE. WHERE АМР У(Х-%)2 (HERE % AMP ARE THE MEAMS OF {%,} AMP {yj RESPECTIVELY J ЬО we’ll $«P IT? SOU CAH ACTUALLY WE THI* MATH IMTUITIVE- PUT you HAVE TP GO IMTO H-PIAAbK^OHAL WE TO t>0 IT... у •=• а+Ь% а - BECAUSE SOME OF THESE EXPRESSIONS WILL SHOW UP A6-AIM, WE ABBREVIATE THEM: - Z^(^i ^UM OF %>UARE^ AROUMP Cs THE MEAM, ТНБ5Б MEASURE -i. Cf THE 5PREAP OF %, AMP = E<yrP2 J i^l = У ^-Я)С2/-5) PR0PU6T (with ььлл) тн£ comtm b. w
FOR TUG RI66EP PATA, HERE'* THE WHOLE COMPUTATION-. Zj ¥i (Zj-X) (хГх')г (¥г^ bo 04 -0 -5b 64 3136 440 62 95 -b -45 36 2025 270 b4 140 -4 0 16 О 0 bb 155 -2 15 4 225 -30 b0 119 0 -21 О 441 0 70 175 г 35 4 1225 70 n 145 4 5 16 25 20 74 197 b 57 36 3249 342 7b 150 0 10 64 100 00 5UM-612 \uo •МО * 10426 9Ь^12ОО %^b0 ^140 192
ANOVA IM TEZHHICKL -TERMS, HOW pAP IS THE SLOP? <AS PROMlSEP, OR THREATENEP/) NOW WE ASK: IF THIS IS THE BEST FIT, HOW 6OOP IS IT? AS УОи aN IMAGINE, THE ANSWER TO THIS QUESTION PEPENPS ON HOW SLOPPlLy THE PATA POINTS ARE SPREAP OUT, I.E., HOW Bl£ SS£ IS, RELATIVE TO THE TOTAL SPREAP OF THE PATA SOME EXAMPLES: 193
LET'S QUANTIFY THIS BY APPORTIONING THE VARIABILITY IN U. REFER TO THE PICTURE AT RIGHT FOR GUlPANCE. WE LET THUS, y.i ARE THE PREPIGTEP WEIGHTS PETERMINEP ВУ ТИБ REGRESSION LINE. ANOVA table SOURCE OF VARIABILITY SUM OF SQUARES VALUE FOR RlGGEP PATA REGRESSION ERROR i-1 «‘ЁН’’1 i = f 6000 4426 TOTAL IP,426 (BY THE WAY, IT IS NOT OBVIOUS THAT SS^ = SSR + SSE-BUT IT'S TRUE.'? ANYWAY, HERE IS HOW THE REGRESSION AMP ERROR SUMS OF SQUARES ARE ^ALZULATEP FOR THE RlGGEP PATA SET. WITH у = -2PP + SX. REGRESSION ERROR Ъ Ф-Р2 6P 94 100 -40 1600 -16 296 62 95 110 -30 900 -15 229 64 140 120 -20 400 20 400 66 155 130 -10 100 29 629 69 119 140 0 0 -21 441 70 175 190 10 100 25 629 72 145 160 20 400 -15 229 74 197 170 30 900 27 729 76 190 100 40 1600 -30 900 X-69 f^14O 56R • 6000 56E-4426
55/? MEASURES THE TOTAL VARIABILITY PUE TO THE REGRESSION, I.E., THE PREPIOTEP VALUES OF 55Г WE’VE ALREAPY MET. NOTE THAT 5SE 44 К ШМШ EXPRESSION fcPTUE "SLoV! 15 THE PROPORTION OF ERROR, RELATIVE TO TME TOTAL SPREAP. The squared correlation IS THE PROPORTION OF THE TOTAL SSyy AZZOUNTEP FOR BY TME REGRESSION: Rl.^. .1- (BECAUSE SSR = 55yy-55E). R2 IS ALWAYS LESS THAN 1. TME CLOSER IT IS TO 1, THE TIGHTER TME FIT OF TME f^URVE- R2 » 1 TORRES PON PS TO PERFECT FIT. aUULATlNG R2 FOR TME RIGGEP PATA SRT, WE GET R2 . -^22- = .90 50% OF TME VARIATION IN WEIGHT IS EXPLAINER BY HEIGHT. TME OTHER 42% IS ’’ERROR."
ALTERNATELY, THE correlation coefficient 15 THE 5QUARE ROOT OF R2 WITH THE 5I6N OF b. г = 65I6N OF b) 'vtf1 МЕДК5 that % i$ THU5, Г 15 + IF THE LINE 6OE5 UP TO THE RI6HT ANP - IF IT 6OE5 POWN TO THE RIOHT. HE6ATNE r RELATE? TO 4.’ Г MEA5URE5 THE TI6-HTNE55 OF FIT, A5 WELL A5 5AYIN6- WHETHER IN£REA5IN6- % MAKE5 GO UP OR POWN. 196
NOW LET'S BE HONEST; NOBOPy- WELL, ALMOST NOBOPy-POES THESE CALCULATIONS ВУ HANP ANyMORE. WITH A COMPUTER, ALL THIS WORK CAN BE PONE IN ОПС Line of cove... IN FACT, THIS ENTIRE ROOK CAN BE СолА- PRES^EP IHT£> THE HEAP OF A WllSTlUM.. USINO THE М1П1ТАВ STATISTICAL SOFTWARE SySTEM, PEVELOPEP AT PENN STATE, THE SINGLE COMMANP LOOKS LIKE THIS-. ПТВ > regress 'weight' on 1 independent uariable 'height' ANP THE RESULTS ARE The regression equation is HEIGHT = - 200 + 5.00 height Pred i ctor Coe f St deu t-rat i о Constant -200.0 Г10.7 -1 .81 he i ght 5.000 1 .623 3.08 s * 25.15 R-sq = 57.5X R-sq(adj) Analysis of Variance SOURCE OF SS П5 Regression 1 6000.0 6000.0 Error 7 4426.0 632.3 Total 8 10426.0 197
NOW LET'S PO IT TO THE REAL PATA OF 92 STUPENTS-. ПТВ > regress 'weight' on 1 independent uariable 'height' ANP THE RESULTS The regression equation is HEIGHT - - 205 + 5 .09 HEIGHT Pred i ct or Coef St deu t-rat 1 о p Constant -204,74 29.16 -7.02 0.000 he i ght 5.0918 0.4237 12.02 0.000 s * 14.79 R-sq - 61 .6X R- sq(adj) 61 . 2X Analysis of Variance SOURCE OF SS ns F P Regress i on I 31592 31592 144.38 0.000 Error 90 19692 219 Total 91 51284 HERE IS THE SCATTERPLOT WITH THE FlTTEP REGRESSION LINE. THE CORRELATION COEFFICIENT FOR THIS 2 PATA SET IS | Г = +1Г616 =.70 riO ibi u i о 200 - „ "08 8 °o8J> I»-... ° о аЛтГю оp ° ° Jo и i о 100 - 0 ° 50 । т 1—i 1 60 65 70 75 height 190
STATISTICAL INFERENCE UP TO NOW, WE HAVE BEEN POING PATA AHALYW, PESCRIBING THE NEAREST LINEAR RELATIONSHIP BETWEEN THE OBSERVE? PATA % ANP NOW LET'S SHIFT OUR POINT OF VIEW, ANP REGARP THE 92 STUPENTS AS A SAMPLE OF THE POPULATION OF STUPENTS AT LARGE. WHAT CAN WE INFER? A RGGRCMoM ЯОРО. FOR THE WHOLE POPULATION IS A LINEAR RELATIONSHIP __________ cr+ + g У IS THE PEPENPENT RANPOM VARIABLE; % IS THE INPEPENPENT VARIABLE (WHICH МАУ OR МАУ NOT BE RANPOM); a ANP 0 ARE THE UNKNOWN PARAMETERS WE SEEK TO ESTIMATE; ANP 6 REPRESENTS RANPOM ERROR FLUCTUATIONS. </ FOR THE HEIGHT VS. WEIGHT MOPEL, У IS WEIGHT, % IS HEIGHT, a ANP £ ARE UNKNOWN, ANP yOU CAN THINK OF e AS THE RAMPOH COflPOUGKT OF THE WEIGHTS У FOR EACH VALUE OF HEIGHT %. 199
THE PISTRIBUTION OF 6 IS IN FAOT MFFOfNT FOR AFFERENT VALUES OF 5-FOOTERS VARY LESS IN THEIR WEIGHT THAN 6-FOOTERS. NEVERTHELESS, WE NOW MAKE A SIMPLIFYING ASSUMPTION-. LET'S SUPPOSE THAT FOR ALL VALUES OF %, THE £’S ARE 1ЫРБРБМРБНТ, NORMAL, ANP HAVE THE SAME’ 5TAMPARP Ю... MAYtt THE WEIGHT MOPEL MIGHT BE У * -125+4^ + e G IS NORMAL WITH A - О ANP 15 POUNPS (SAY). THEN, A^ORPING TO THIS MOPEL, STUPENTS WHO ARE 6'A* (76 INCHES) HAVE THE PISTRIBUTION OF У - -125 + 4<7б?+6 = 175+6 SO, FOR % = 76, У IS NORMAL WITH MEAN 175 ANP STANPARP PEVIATION 15 POUNPS. •zoo
HOW, GIVEN THE MOPEL Y Л + + G, WE WANT TO PO AS WE’VE PONE REPEATEPLV IN THE LAST FEW CHAPTERS: TAKE A fAflPLC ANP USE IT TO С5ПМАТС a ANP /?. ONE CAN SHOW THAT THE a ANP b WE GOT ВУ THE LEAST-SQUARES METHOP are BLUE, the Best Linear Unbiasep Estimators of a anp p (WHATEVER THAT MEANS/). AS USUAL, PIFFERENT SAMPLES VIELP PIFFERENT COLLECTIONS OF PATA, WHICH GENERATE PIFFERENT REGRESSION LINES. THESE LINES ARE D&TRIVUTCP AROUNP THE LINE У - Л+ + €. OUR QUESTION BECOMES: HOW ARE a ANP b PlSTRIBUTEP AROUNP a ANP Д RESPECTIVELY ANP HOW PO WE CONSTRUCT COMFIPCMCC INTERVAL# ANP T&T НУРОТЦ&&? 2/71
FOR EACH PATA POINT у, Л WE HAVE JG - a + />%,+ e, WHERE е{ = y.i - 1^ THE ^-PlSTAHCE OF FROM THE REGRESSION LINE- THE e, ARE SAMPLE VALUE* OF e, ANP THEY GIVE V* AN ESTIMATOR S FOR trfe)-. (WHY Z?-2 IN THE PENOMINATOR? BECAUSE WE HAVE USEP UP TWO PEGREES OF FREEPOM TO COMPUTE a ANP b, LEAVING Z?-2 INPEPENPENT PIECES OF INFORMATION TO ESTIMATE cr.) ALTHOUGH IT ISN’T OBVIOUS, WE CAN ALSO WRITE S AS П-2. A FORMULA WHICH ALLOWS US TO COMPUTE S PIRECTLY FROM THE SAMPLE STATISTICS. TO REPEAT, S IS AN ESTIMATOR OF //OW И7РД.У ТИБ DATA POINT* WILL EE SCATTERS^ AROUND THE LINE 2Z72
confidence intervals ТИБ 95% £ONFIPEN6E INTERVALS FOR a ANP fi HAVE THAT OLP, FAMILIAR FORM: Р=Ь±Ьп,ЪЕ(Ь) a ~a ± WHERE WE USE THE t PISTRIBUTION WITH z?-2 PETREES OF FREEPOM 6FOR THE SAME REASON AS ABOVE?. У£^.. UDPKS LtK ТИ₽ С/МПрЕ LAC0? ALMONP ToRrt троил тне wrtfy op тле THE STANPARP ERRORS, HOWEVER, LOOK RATHER UNFAMILIAR. THEY ARE (WITHOUT PERIVATIONZ *'«- vta SE"”'T < WHAT HAPPENEP TO OUR PREVIOUS ^=? IT WAS REPLA£EP ВУ SS„. LIKE n, $$xx INCREASES AS WE APP MORE PATA POINTS, BUT IT ALSO REFLECTS THE TOTAL. 5PRCAD OF THC % DATA. FOR EXAMPLE, IF ALL 6TUDCUT4 MflPLCD HAD THC 4A&C HC16HT, WOULP BE UNJUSTIFIEP IN PRAWIN6- АМУ (ON6LUSION ABOUT THE PEPENP£N(£ OF WEI6HT ON HEIGHT. IN THAT £ASE, SS^» O, 6MN& /> = <» ANP IHFIMTCLP WIPC £ONFIPEN(£ INTERVALS.
MORE QUE5TION5 HOW WELL 6АЫ WE PREPlOT THE MEAN RE4PON4E У AT A FlXEP VALUE W FOR INSTANCE, WHAT 15 THE MEAN WEI6HT OF 5TUPEMT5 OF HEIGHT 76 IN6HE5? THE 95% 6ONFIPEN4E INTERVAL FOR У = a + 0ZD 15 0^(3%q —* Я + ЬуС/Q i t 2^ ) WHERE 5UPPO5E A NEW 5TUPENT ENROLL5, WHO HA5 HEIGHT HOW WELL CAN WE PREPlOT YNEW WITHOUT MEA5URINO IT? THE 95% PREPIOTION INTERVAL FOR A NEW INPIVIPUAL YNCW WITH OB5ERVEP %NEW 15 У NEW ® л + b^NEW ^.P25 ^(Ynew} WHERE _ < | / ^'NCW ^YnEW^® V + + “44---- height BOTH THE5E 5TANPARP ERROR5 CONTAIN A TERM THAT 6ROW5 LAR&ER A5 THE %-VALUE, OR ^NEW • 6ET5 FARTHER FROM THE MEAN VALUE % WHY P0E5 THE ERROR IN6REA5E FARTHER FROM BE6AU5E, IF YOU WI55LE THE RE5RE55ION LINE, IT MAKE5 MORE OF A PIFFEREN6E FARTHER FROM THE MEAN.' ("REMEMBER, THE LINE ALWAY5 PA55E5 THROUGH 2/24
LETS WORK IT OUT FOR THE RI&6EP PATA: FOR THE Ж4А/ WCI&IT WHEN 76 INCHES» WE HAVE b = —200 ANP Я = 5. THEN У = -200 + 5(76) + (2365X25.15) = 190 ± (23Ь5)(25Л5) V .3777 = WO ± 36.34 POUNPS THE ESTI/MATEP /MEAN OF 6'4" STUPENTS 15 190 POUNPS, ANP WE'RE 95% CONFIPENT THAT WE'RE WITHIN U POUNP5 OF THE TRUE /MEAN. FOR A N£W 5TUPENT WHO‘5 6’4”, WE U5E OUR RI66-EP SAMPLE OF NINE POINT5 TO PREPI6T THAT yNCW = -200 +5(76) ± (2365)(25.15) у1+~+(ZiL^? = 190 ± (2365X2.9.51) - WO ± 70 POUNPS WE TELL THE FOOTBALL 6OA^H THAT WE'RE PRETTY SURE THE NEW 6W WEIGHS SOMEWHERE BETWEEN HO ANP 290!!! <105
THE INTERVALS ARE PRETTY TERRIBLE' WHAT'S THE PROBLEM? THERE ARE TWO PROBLEMS, ACTUALLY: HEIGHT ALONE IS NOT A VERY 6OOP PREPICTOR OF WEIGHT. nine pata points weren't enough. IN PARTICULAR, THERE WAS ONLY OW STUPENT WITH HEIGHT 76 INCHES. THE PENN STATE STUPENTS 6IVE BETTER ESTIMATES. 250 -i 200 - 150 - ф 5 100 - 50 60 65 70 height 2Ot>
hypothesis testing THE COMPLETE SKEPTIC MIGHT SUGGEST THAT THERE IS NO RELATIONSHIP BETWEEN HEIGHT ANP WEIGHT. THIS AMOUNTS TO SAVING THAT p--O. НД6 HO EFFECT 0^ WE TAKE THIS AS THE NULL HYPOTHESIS. W = o IN THAT CASE, THE TEST STATISTIC t ' b &(b) HAS THE t PISTRIBUTION WITH Z?-2 PEGREES OF FREEPOM. AS USUAL, THE SIGNIFICANCE ТБ5Т PEPENPS ON THE ALTERNATE НУРОТНБ616. t > ta FOR Ha .0 > О t<ta FOR Ия s < О FOR THE RIGGEP WEIGHT PATA, WE STRONGLY SUSPECT THE ALTERNATE HYPOTHESIS SHOULP BE Ня:^>0 WE TEST _5_ 1.62 = 3.(?0 FOR 7 PEGREES OF FREEPOM, t „ = 1.095. SINCE tO9i > tD5 , WE REJECT THE NULL НУРОТНБ616 AT THE a = .05 SIGNIFICANCE LEVEL ANP CONCLUPE THAT THERE IS A SIGNIFICANT, POSITIVE RELATIONSHIP BETWEEN HEIGHT ANP WEIGHT. 207
Multiple linear regression WE CAN USE ТИБ SAME PASlC /PEAS ТО ANALVZE RELATIONSHIPS BETWEEN A PEPENPENT VARIABLE ANP SEVERAL INPEPENPENT VARIABLES: poh’t ycxj IT'S Ju9r mi HFihE П-» DIMENSIONAL uypcp- flane im n-space' NOTHING 7Z2 IT» 6АЦ! Pou‘T po TH AT I FOR EXAMPLE, WEIGHT IS PETERMINEP ВУ A NUMBER OF FACTORS OTHER THAN HEIGHT: A£E, SEX, PIET, ВОРУ ТУРБ, ETC. MATRIX ALGEBRA ANP A COMPUTER COMBINE TO MAKE SUCH PROBLEMS EASy TO ANALVZE. Non-linear regression SOMETIMES PATA OBVIOUSLy FIT A NON-LINEAR CURVE. STATISTICIANS HAVE A BAG OF TRICKS FOR USIN& LINEAR REGRESSION TECHNIQUES FOR NON-LINEAR PROBLEMS. THE SIMPLEST OF THESE IS TO WRITE У AS A POLYNOMIAL У = a + + G. ANP TREAT ANP Я1 AS INPEPENPENT VARIABLES IN A LINEAR MOPEL. 109
Regression diagnostics FITTING A COMPLEX MOPEL TO PATA 6AM SOMETIMES OBS6URE МАМУ PIFFI6ULTIES. WE USE REGRESSION PIAGMOSTI6 PROCURES TO UN6OVER АМУ LURKING NASTY SURPRISES. HAVE VDD EVER Р1А6К0Ш> Д 6RAFH ESEFORfc, PR- PLUPPE6U6^UE’ ТИБ SIMPLEST PRO6EPURE IS TO PLOT THE RG4IPUAL4 e, AGAINST THE PREDATOR REMEMBER, THE ERROR G. IS ASSUMEP TO ВБ 1МРБРБМРБМТ OF %. A RAHDO# S6ATTERPLOT INPI6ATES THAT THE MOPEL ASSUMPTIONS ARE PROBABLY OK. АЫУ PATTGRN IMPI6ATES A PEFINITE PROBLEM WITH THE MOPEL ASSUMPTIONS. A TYPI6AL LURKIM6- MASTY SURPRISE 6WHI6H EXISTS IM THE HEI6HT/WEI6HT PATA) IS THAT ERRORS ARE HGTGROUGM^T!^. 1.Б, THE SPREAP OF e IM6REASES AS V INCREASES. 2P9
IN THIS CHAPTER, WE HAVE SUMMARIZE? THE BASIC (PEAS ANP TECHNIQUES OF REGRESSION ANALYSIS, THE STUPY OF STATISTICAL RELATIONSHIPS BETWEEN VARIABLES. THIS CONCLUPES OUR PETAILEP PISCUSSION OF BASIC STATISTICAL METHOPS. IN OUR FINAL CHAPTER, WE'LL BRIEFLY REVIEW A FEW REMAINING TOPICS ANP ISSUES. < Y£*. > IN My PROFESSIONAL opinion, You've RE6RES6EP ч ENOU6H- У гю
♦ Chapter 12< CONCLUSION ' THE BASIC PRINCIPLES, TOOLS, ANP CALCULATIONS COVEREP IN TH 15 BOOK CAN BE EXTENPEP TO SOLVE MORE COMPLEX PROBLEMS. HERE'S A BIAttP SAMPLE OF MORE APVANCEP STATISTICAL METHOPS' 211
f DATA DISPLAY WE SAW HOW TO PISPLAY ONE VARIABLE WITH A POT PLOT ANP 7WO VARIABLES USING A SCATTERPLOT—BUT HOW PO WE GRAPHICALLY PISPLAY MORE TUAN TWO VARIABLES ON A FLAT PAGE? AMONG THE MANY POSSIBILITIES, A CARTOON GUlPE HAS TO MENTION HERMAN OUERNOFF'S SIMPLE IPEA: USING THE HUMAN FACE, ASSIGN EACH FEATURE TO A VARIABLE ANP PRAW THE RESULTING OUERNOFF FACES: t-EWRCNl SLANT y^EYE SIZE г-NOSE LENGTH t —MOUTH LENGTH 0 - FACE HEIGHT ETC... Statistical analysis of MULTIVARIATE DATA AN ASSORTMENT OF MULTIVARIATE MOPELS HELP TO ANALYZE ANP PISPLAY Z7-PIMENSIONAL PATA. SOME MULTIVARIATE TECHNIQUES: Cluster analysis SEEKS TO PIVIPE THE POPULATION INTO HOMOGENEOUS SUBGROUPS. FOR EXAMPLE, BY ANALYZING CONGRESSIONAL VOTING PATTERNS, WE FINP THAT REPRESENTATIVES FROM THE SOUTH ANP WEST FORM TWO PISTINCT CLUSTERS. in
Discriminant analysis 15 THE REVERSE PROCESS. FOR EXAMPLE, A COLLEGE ADMISSIONS OFFICE MIGHT LIKE TO FINP PATA GIVING ADVANCE WARNING WHETHER AN APPLICANT WILL GO ON TO BE A $UCC&$FUL fRAPUATK (PONATE5 HEAVILY TO THE ALUMNI FUNP? OR AN UNWta&FVL ONE (GOES OUT TO PO GOOP IN THE WORLP ANP 15 NEVER HEARP FROM AGAIN?. Factor analysis SEEKS TO EXPLAIN HIGH- PIMEN5IONAL PATA WITH A SMALLER NUMBER OF VARIABLES. A PSYCHOLOGIST MAY GIVE A TEST WITH WO QUESTIONS, WHILE SECRETLY ASSUMING THAT THE ANSWERS PEPENP ON ONLY A FEW FACTORS EXTROVERSION, AUTHORITARIANISM, ALTRUISM, ETC. THE TEST RESULTS WOULP THEN BE 5UMMARIZEP USING ONLY A FEW COMPOSITE 5CORE5 IN THOSE PIMEN5ION5. IHTEUO02- on A SCALE FROM ONE Ю T&L loU'RE T-b EKlfc)\|ER-na>, 4-9' altruist^, Дир 2.7 AU-THOflriWW- TVAt'5 ybO, щ Д NUTSHELL I 21Э
THERE 15 AL*O MORE TO PROBABILITY: Random walks be^in with A £OIN FLIP. *UPPO*£ YOU MOVE AHEAP ONE *TEP FOR A HEAP ANP BA£K ONE *TEP FOR A TAIL 6U5IN6- TWO £OIN*, YOU 6AN PO THI* IN TWO PIMEN*ION*J REPEATEP FLIP* PROPOSE A *ТОШ*Ш PRO£E** 6ALLEP А Я4А/РО/И WALK. RANPOM WALK MOPEL* ARE V*EP IN 57О/ГК OPTION TRAPIN6 ANP PORTFOLIO №ANA6G№NT Time series analysis peal* with pata *et*. whuh, LIKE THE RANPOM WALK, A&UMJLATF OVER TIM£: LO£AL ANP GLOBAL TEMPERATURE*, THE PRI^E OF OIL, ETL. IN 77< fFRIK ANALY^f, RANPOM MOPEL* ARE U*EP TO FOREST FUTURE VALUE*- 2M
WCVQ ALREAPY SEEN HOW THE COMPUTER HELPS WITH ANALYSIS ANP ARITHMETIC. THERE ARE ALSO SOME STATISTICAL IPEAS THAT OWE THEIR VERY EXISTENCE TO THE COMPUTER: Image analysis A COMPUTER IMA6E MICHT CONSIST OF WOO BY WOO PIXELS, WITH EACH PATA POINT REPRESENTS? FROM A RANCE OF 16.7 MILLION COLORS AT ANY PIXEL- STATISTICAL IMACE ANALYSIS SEEKS TO EXTRACT MEANINC FROM "INFORMATION" LIKE THIS. we use Pictures, to UELP U№RCTAKV 1W. PUT Now WE HAUS To Pictures ! Resampling SOMETIMES. STANPARP ERRORS ANP CONFIPENCE LIMITS ARE IMPOSSIBLE TO FINP. ENTER RESAMPLING, A TECHNIQUE THAT TREATS THE SAMPLE AS THOUGH IT WERE THE POPULATION. THESE TECHNIQUES CO BY SUCH NAMES AS RANDOMIZATION, JACKKNIFE» ANP BOOTSTRAPPING. NACe’. SEEMS IMPOSSIBLE, В(3т IT WORKS' 215
resampling (contvd) TO PO RESAMPLING, THE COMPUTER RESAMPLES THE SAMPLE COMPUTES THE ESTIMATE FOR THE RESAMPLE REPEATS THE FIRST TWO STEPS МАМУ TIMES, FIN PIN 6- THE SPREAP OF THE RESAMPLEP ESTIMATE* REMEMBER THE CORRELATION COEFFICIENT r OF THE 92 HEIGHT-WEIGHT PAIRS OF CHAPTER 11? WHAT'S THE S7AA/PARP ERROR Of Г ? THE COMPUTER TAKES 200 BOOTSTRAP SAMPLES FROM THE 92 PATA POINTS, COMPUTES Г EACH TIME, ANP PLOTS A HISTOGRAM OF THE Г VALUES. Bootstrapped Correlations NOTE THAT THE SPREAP OF THE BOOTSTRAP ESTIMATES IS RELATIVELY SMALL ANP, FINALLY, HERE ARE SOME OTHER ISSUES TO KEEP IN MINP: 216
DATA QUALITY SEEMlNGLy SMALL ERRORS IN SAMPLING, MEASUREMENT, ANP PATA RECORPING CAN PLAY HAVOC WITH ANy ANALVSIS. ft 4. F&HSR, GENETICIST ANP FOUNPER OF MOPERN STATISTICS, NOT ONLy PESI6-NEP ANP ANALVZCP ANIMAL BREEPING EXPERIMENTS. HE ALSO ЛБАНБР ТИБ СА6Б* ANP ТБМРБР ТИБ AHlMALt, BECAUSE HE KNEW THAT THE LOSS OF AN ANIMAL WOULP INFLUENCE HIS RESULTS- /--------------------------------------------------------------------------------\ MOPERN STATISTICIANS, WITH THEIR COMPUTERS, PATABASES, ANP GOVERNMENT GRANTS, HAVE LOST SOME OF THIS HANPS-ON ATTITUPE. IF УОи GRAPHEP THE MEAN MASS OF RAT PROPPINGS UNPER STATISTICIANS' FINGERNAILS OVER TIME. IT WOULP PROMBf-У LOOK SOMETHING LIKE THIS: W
Innovation ТИБ BEST SOLUTIONS ARE NOT ALWAYS IN ТИЕ BOOK/ FOR EXAMPLE, A COMPANY HIREP TO ESTIMATE THE COMPOSITION OF A 6ARBA6E PUMP WAS FACEP WITH SOME INTERESTING PROBLEMS NOT FOUNP IN YOUR STANPARP TEXT... Communication BRILLIANT ANALYSIS IS WORTHLESS UNLESS THE RESULTS ARE CLEARLY COMMUNICATEP IN PLAIN LANGUAGE, INCLUPING THE PEGREE OF STATISTICAL UNCERTAINTY IN THE CONCLUSIONS. FOR INSTANCE, THE MEPIA NOW MORE REGULARLY REPORT THE MARGIN OF ERRORS IN THEIR POLLING RESULTS. Teamwork IN OUR COMPLEX SOCIETY, THE SOLUTION TO MANY PROBLEMS REQUIRES A TEAM EFFORT. ENGINEERS, STATISTICIANS, ANP ASSEMBLY LINE WORKERS ARE COOPERATING TO IMPROVE THE QUALITY OF THEIR PROPUCTS. BIOSTATISTICIANS, POCTORS, ANP AIPS ACTIVISTS ARE NOW WORKING TOGETHER TO PESlGN CLINICAL TRIALS TO MORE RAPIPLY EVALUATE THERAPIES. 218
WELL, ТЙАТ'5 ГТ/ ВУ NOW, YOU 5HOULP BE ABLE TO PO АМУТШ№ WITH STATISTIC, EXCEPT L/£ Oi£AT, 4TGAL, ANP 6AM8L£ 219
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BIBLIOGRAPHY FOR THE STUPENT-. MOORE, PAVIP S., fTATIfTIGb GONGGPTf ANP GONTROVGRftGf, 1991, NEW YORK, W. H. FREEMAN. EMPHASIZES IPEAS, rather than mechanics. FREEPMAN, PAVIP, PISANI, ROBERT, ANP PURVES, ROGER, 4TATI6TIG5, 1991, NEW YORK, W.W. NORTON. MOORE, PAVIP S. ANP M£CABE, GEORGE P-, INTROPUGTION TO TUG PRAGTIGG OF 5TATI4TIG4, 1909, NEW YORK, W.H. FREEMAN. SMITH, GARY, 4TAT&TIGAL RGA4ONIN&, 1990, BOSTON, ALLYN ANP BACON, INC. MORE TECHNICAL, EMPHASIZING ECONOMICS ANP BUSINESS, BUT HAS EXAMPLES FROM ALL OVER. THESE TEXTS ARE CURRENT, CORRECT, LITERATE, ANP WITTY. BESIPES THE ONES WE CITE, THERE ARE HUNPREPS OF TEXTBOOKS OUT THERE, ANP WE WOULP RATE MOST AS AT LEAST ACCEPTABLE. FOR THE STRUGGLING STUPENT: PYRCZAK, FREP, 4TAT&TIG* WITH A 4GN6G OF HUMOR, 1909, LOS ANGELES, FREP PYRCZAK PUBLISHER. AN ELEMENTARY WORKBOOK ANP GUIPE TO STATISTICAL PROBLEM SOLVING HOW TO UG, GHGAT, AW GAMPLG YOUR SAINTLY AUTHORS HAVE LITTLE EXPERIENCE IN THESE FIELPS. HERE IS SOME APVICE FROM THE PROS: HUFF, PARRELL, HOW TO LIG WITH f TATIf TIGWITH PICTURES BY IRVING GEIS, NEW YORK, 1994, W.W. NORTON. CHEAP ANP STILL IN PRINT! JAFFE, AJ. ANP SPIRER, HERBERT F, M&UfGP STATltTlGb STRAIGHT TALK FOR TW&TGP NUMFGRf, 1907. NEW YORK, MARCEL PECKER. PART OF A GOOP POPULAR SERIES ON STATISTICS. ORKIN, MIKE, GAN POU WIN?, 1991, NEW YORK, W.H. FREEMAN. APVICE FROM AN EXPERT ON PROBABILITY ANP GAMBLING. M^GERVEY, JOHN P., PROFAPILlTIGf IN GVGRP МУ LIFG, 1909, N.Y., IVY BOOKS. GAMBLING FROM BLACKJACK TO SMOKING. 221
Г LAW ANP SOCIETY'. GASTWIRTH, JOSEPH L-, *TATI*TICAL REA*ON!NC /А/ LAW ANP POLICY, VOL. I L 1, 1900, SAN PIEGO, ACAPEMIC PRESS- THE LEGAL МПТУ GRITTY, INCLUPING JURY SELECTION CA*E* LIKE THE ONE THAT BEGAN CHAPTER 9. STEERING COMMITTEE OF THE PHYSICIANS’ HEALTHY STUPY RESEARCH GROUP, “FINAL REPORT ON THE A*PI RIN COMPONENT OF THE ON CO INC PHY*ICIAN*' HEALTHY *TUPY,” THE NEW ENCLANP JOURNAL OF MEP/C/NE, VOL. 321, PP. 129-135. IN CHAPTER 9, THE NONJUPICIAL COMMENT ON POKER FROM THE BENCH WAS FROM AN ACTUAL CASE, WE ARE ASSURER IN A PERSONAL COMMUNICATION FROM PR. JOHN PE CANI UNIVERSITY OF PENNSYLVANIA. GRAPHICAL PISPLAY OF PATA: TUFTE, EPWARP R., THE VI*UAL P!*PLAY OF QUANTITATIVE INFORMATION, 1903, CHESHIRE, CONNECTICUT, GRAPHICS PRESS. TUFTE, EPWARP R., ENVI*IONINC INFORMATION, 1990, CHESHIRE, CONNECTICUT, GRAPHICS PRESS, THE HISTORY, ART ANP SCIENCE OF GRAPHICS. BOTH BOOKS ARE CLASSICS. CLEVELAND WILLIAM S., THE ELEMENT* OF CRAPHINC PATA, 1905, PACIFIC GROVE CA, WAPSWORTH APVANCEP BOOKS ANP SOFTWARE. RESIGN PRINCIPLES FOR COMPUTER GRAPHICS. HISTORY-' PAVIP, F. N„ CAME*. COP* ANP CAMBLINC, 1962, NEW YORK, HAFNER, NEW YORK. STIGLER, STEPHEN M., THE H!*TORY OF *TAT1*T!C*- THE MEA*UREMENT OF UNCERTAINTY BEFORE 1900, 1905, CAMBRIPGE, MA, BELKNAP PRESS OF HARVARP UNIVERSITY PRESS. BOX, JOAN FISHER, R- A. F!*HER, THE LIFE OF A *CIENTI*T, 1970, NEW YORK, WILEY. BIOGRAPHY, BY HIS PAUGHTER, OF THE MOST INFLUENTIAL ANP CONTROVERSIAL FIGURE OF 2PTH CENTURY STATISTICS. KRUSKAL, WILLIAM, “THE *ICNIFICANCE OF F!*HER; A REVIEW OF RA. F!*HER: THE LIFE OF A *C!ENT1*T 1990. JOURNAL OF THE AMERICAN *TATI*TICAL A**OC!AVON VOL 75, 1030. SETS THE FISHER BIOGRAPHY IN PERSPECTIVE ANP HAS EXCELLENT BIBLIOGRAPHY. 222.
STATISTICAL SOFTWARE: IN THIS BOOK WC U6GP THE MINITAB STATISTICAL SOFTWARE SYSTEM (MINITAB INC., STATE COLLEGE, PA). THE PENN STATE STUPENT HEIGHT ANP WEIGHT PATA IS FROM THE PULSG PATA SET ON THIS SYSTEM. COMPUTER GRAPHICS WERE GENERATE? BY S-PLUS (STATISTICAL SCIENCES INC., SEATTLE WA), ON A 49i PC CLONE S IS SOPHISTICATE? SOFTWARE, PEVELOPEP BY AT&T BELL LABS FOR APVANCEP ANALYSIS ANP GRAPHICAL PISPLAYS. RYAN, BARBARA, JOINER, BRIAN, ANP RYAN, THOMAS, MINITAB HANDBOOK, (PWS-KENT, BOSTON, 1965) ANP TUG STUPGNT GPITION OF MINITAB (APPlSON WESLEY) ARE FAST, INEXPENSIVE INTROPUCTIONS TO STATISTICAL COMPUTING- MINITAB RUNS ON MAIN- FRAMES, PC COMPATIBLES, ANP MACINTOSH COMPUTERS. THERE ARE MANY HIGH QUALITY SOFTWARE PACKAGES AVAILABLE FOR THE PERSONAL COMPUTER, INCLUPINfr PATAPGSK (PATA PESCRIPTlON, ITHACA. Ny), FOR THE MACINTOSH SAS (SAS INSTITUTE INC, CARY, NO, SPSS (SPSS INC, CHICAGO, ILA ANP BMPP (BMPP STATISTICAL SOFTWARE, INC., LOS ANGELES, CA) WERE ORIGINALLY PESlGNEP FOR MAINFRAME SYSTEMS ANP NOW HAVE MIGRATE? TO THE PC, COMPLETE WITH WINPOWS. STATGRAPHICS (STATISTICAL GRAPHICS CORP, PRINCETON, NJ), FOR THE PC. STATVIGW (ABACUS CONCEPTS, OAKLANP CA) FOR THE MACINTOSH. SVST AT (SYSTAT, INC., EVANSTON IL) HAS SYSTEMS THAT RUN IN ALL ENVIRONMENTS. THESE PACKAGES PlFFER IN IMPORTANT PETAILS-, YOU NEEP TO BE A SMART SHOPPER. WE RECOMMENP CHOOSING A SYSTEM THAT YOUR COLLEAGUES HAVE ALREAPY TESTEP. FEW OF US ARE CUT OUT TO BE STATISTICAL SOFTWARE PIONEERS. WHEN LEARNING A NEW SYSTEM, EXPERIMENT WITH SMALL, FAMILIAR PATA SETS. REMEMBER, TUG MOST GXPGNSIVG PART OF ANY SoFTWARG /S YOUR TIMG. THE CARTOON RULE FOR LEARNING STATISTICAL COMPUTING IS: FAMILIARITY BREEPS RESULTS. TRYING TO LEARN STATISTICAL THGORY ANP STATISTICAL COMPUTING AT THE SAME TIME IS A LITTLE LIKE TRYING TO WAL-K ANP CHGW GUM AT THE SAME TIME. AFFERENT SKILLS ANP THOUGHT PROCESSES ARE INVOLVE? IN EACH. SET ASIPE SEPARATE TIMES TO LEARN THESE SUBJECTS, THEN BRING THEM TOGETHER. IN THIS WAY, YOU CAN BECOME A GROWING, WALKING, COMPUTING, RGNAISSANCG STATISTICIAN! 2Г5
Acceptance sampling, 150 Addition rule for events, 38-39,42,44 Alternate hypothesis (Hd), 140-141, 147-149, 152-153, 165-166. See also Hypothesis testing left-handed, 144-145 relevant, 144-145 right-handed, 144-145 two-handed, 144-145 Analysis of variance. See ANOVA ANOVA (analysis of variance), 186, 193-195, table, 194 Approximate probability, 60 Approximation binomial, 79-81,86-88 continuous, 87-88 normal, 87-88 Archery lessons, confidence intervals and, 116-124 Area under the curve, 64-66 Arrays, 14-15 Aspirin clin cal trials, 160-167. See also Two populations compared Astralagi, 28 Average salary comparison, 168-169. See also Two populations compared Average squaied distance, 22 Aveiage value, 15-17 standard deviations from, 22,24-25, 168, 171 Bar graphs, 11 Bayes, joe, 46-50 Bayes, Rev. Thomas, 46-50 Bayesian, 35 Bayes Theorem, 46-50 Bernoulli, James, 79 Bernoulli trial, 74-75, 78 sampling size and, 98-100 Best linear unbiased estimators (BLUE), in regression analysis, 201-202 Beta (probability of type II error), 151-155 Bias in polls, 126-127 reducing natural, with paired comparison, 178 in simple random sampling, steps to eliminate, 167 Binomial approximation, 79-81,86-88 Binomial coefficient, 76 multiplication rule and, 76 Pascal’s triangle and, 77 Binomial distribution, 77, 81,83,86, 88 asymmetrical, 82 calculating, for large values, 79-80 continuous density function and, 79-80 mean of, 78 standard normals and, 82 variance of, 78 Binomial distribution table, 78 Binomial probability distribution, 77-78 Binomial random variables, 74-76, 139-140 Blocks complete randomized, 184-185 in experimental design, 183-184 BLUE (best linear unbiased estimators), in regression analysis, 201-202 Bootstrapping, 215-216 Box and whiskers plot, 21 Brass tacks, 98-103 Categorical statements, 2 Central limit theorem, 106, 128, 169 fuzzy, 83-88 problems with, 107 Central value, 14. See also Spread mean, 15-16 median, 17-18 Challenger (space shuttle), 3 Chameleon Motors comparing small sample means, 170-171 confidence intervals, 134-135 hypothesis testing for, 149-150 Chernoff, Herman, 212 Classical probability, 35 Claudius I, 28 Cluster analysis, 212 Cluster sampling design. 95 Coin toss, 32, 54-55, 58, 60-62,68-70 Communication, 218 Comparing failure rates, 160-163 Comparing small sample means, 170-171' Comparing success wtes, 160-163
Comparing two populations. See Two populations compared Comparison of average salaries, 168-169 Comparisons, paired, 174-178 Complete randomized block, 184-185 Computer image analysis, 215 Computer resampling, 215-216 Conditional probability, 40-41 false positive paradox and, 46-50 multiplication rule and, 42-44 Confidence interval levels decision theory and, 152-153 measuring, 122-123 Confidence intervals, 112-136 computer simulation of, for samples, 120 error levels and, 124-127 estimating, 114-127 increasing levels of, 121-125 margin of error and, 119, 121 in paired comparisons, 176 population means and, 128-130, 169 population proportion and, 128-130 probability calculation and, 117-119 random sampling used for, 114-115, 119 in regression analysis, 203-206 sample means and, 130,171 standard deviation in, 117, 128-130 standard error in, 118, 128-130 Student’s r based, 131-136 for success rates, 164 table for levels, 122-123 Continuity correction, 87-88 Continuous densities, properties of, 66-67 Continuous density function, binomial distribu- tion and, 79-80 Continuous probabilities 64 Continuous random variables, 63 mean of, 67 probability density of, 65 variance of, 67 Correlation, squared, in regression analysis, 195 Correlation coefficient, in regression analysis, 196 Cumulative probability, 84 Curve, area under the, 64-66 Data multivariate, statistical analysis of, 212-213 order of, 17 paired and unpaired compared, 177-178 properties of, 59 rigged, in regression analysis, 189,192, 194-195, 205-207 spread of, in regression analysis, 190—195 Data analysis, 4 Data description, 8-26 Data display, 212 Data points, 11-12, 14-15 average, 17 middle, 17 Data quality, 217 Data summary, 12 Death rate, 13 Decision table, two-by-two, 152 Decision theory, hypothesis testing, 151-155 Deductive reasoning, 113 Degrees of freedom, 131-135 in comparing small sample means, 171 hypothesis testing and, 149-150 de Mere, Chevalier, 28-29,75, 78 de Moivre, Abraham, 79-83, 86-88, 101 Dependent random variable, in regression analysis, 199-209 Dependent variable, in regression analysis, 189 Dice, 28-45 loaded, 33 Discrete probabilities, 64, 66 Discrete random variables, 63 Discriminate analysis, 213 Dot plots, 9 two-dimensional, 188 Election polls, 114-127 hypothesis testing in, 143-145 Elementary outcomes, 30, 32-38 Error levels, confidence intervals and, 124-127 Errors heteroscedastic, 209 margin of, confidence intervals and, 119,121 measurement, experimental design and, 183 random error fluctuations, 199-209 standard. See Standard error (SE) sum of squared (SSE), in regression analysis, 190-195 type I. 151-154 type II, 151-154 Estimates, 102-103, 107 Estimating confidence intervals, 114-127 Estimators, 102-103 best linear unbiased (BLUE), in regression analysis, 201-202 in comparing the means of two populations, 168-169 Events addition rule for, 38-39,42,44 mutually exclusive, 39, 42, 44 probability of, 35-37 repeatable, 35 rules for outcomes of, 38-39 subtraction rule for, 39,44 Expected value, 61 Experiment random, 30, 32, 34, 36 sampling and, 98-100, 104-105
Experiment (continued) weight, 9-12, 16, 18-26 regression, 188-209. See also Regression Experimental design basic principles, 183 blocks in, 183-184 elements of, 182-183 four-by-four table in, 184-185 Latin square in, 184-185 local control in, 183 measurement error and, 183 natural variability and, 183-185 randomization in, 183, 185 replication in, 183, 185 total variability and, 186 Experimental treatments, 182-183 Experimental units, 182-183 Factor analysis, 213 Failure rates, comparing, for two populations, 160-163 False positive paradox, 46-50 Fermat, Pierre de, 28—45 Fisher, R. A., 217 Fitting process, in regression analysis, 189-196 Fixed significance level, in hypothesis testing, 141-142, 145 Four-by-four table, in experimental design, 184-185 Frequency, relative, 10-11,35,57-58, 60 Frequency histograms, 11. 57-58 Frequency tables, intervals in, 10-11 Gallup Poll, 127 Gambling, 27-45 Gasoline comparisons, 172-173 experiment design and, 182-186 paired comparisons of, 174-178 Gosset, William. 108-109, 131-132 Graphic display, 13 Graphs bar, 11 histograms. See Histograms probability distribution, 56-58 (Ид). See Alternate hypothesis Heteroscedastic errors. 209 Histograms, 13 frequency, 57 probability, 56-58 relative frequency, 11,57-58 spread measured in, 19 symmetrical, 24-25, 77 Hite, Shere, 97 Holmes, Sherlock, 113-130 Ho(null hypotheses), 140-141, 144-145, 147-150, 152-153, 165-166. See also Hypothesis testing 1 lypotheses. See also Hypothesis testing alternate (Ha), 140-141, 147-149, 152-153, 165-166 left-handed, 144-145 relevant, 144-145 right-handed, 144-145 two-handed, 144-145 null (Ho), 140-141, 144-145, 147-150, 152-153, 165-166 Hypothesis testing. 138-139 decision theory, 151-155 degrees of freedom and, 149-150 fixed significance level in, 141-142, 145 large sample for population mean. 146-148 significance test for proportions, 143-145 in paired comparisons, 176 population mean and, 146-148, 169 probability statement in, 141-142 in regression analysis, 207 statistical, 140-142 Iguana autos, 170-171 Increments, 9 Independence, 71,74 simple random sampling and, 92-94,96 special multiplication rule and, 43-44 Independent mechanisms, 71 Independent variable, in regression analysis, 189, 199-209 Inductive reasoning, 113 Innovation, 218 Inspection sampling, significance test used in, 146-148 Integral, 66-67 Interquartile range (IQR), spread measured in, 20-21 Intervals confidence. See Confidence intervals in a frequency table, 10-11 IQR (interquartile range), spread measured in, 20-21 Jackknife, 215-216 Jury selection, racial bias in, 138-141 Large sample hypothesis testing for population mean, 146-148 significance test for proportions, 143-145 Large values, calculating binomial distribution for, 79-80 Latin square, in experimental design, 184-185 Least squares line, 189-190, 208 Left-handed alternate hypothesis, 144-145 Linear regression, in regression analysis, 189-190, 208 226
Local control, in experimental design, 183 Logical operations, 37 Margin of error, confidence intervals and, 119,121 Mean, 15-16, 18 of binomial distribution, 78 central, 15-16 comparing small sample, 170-171 confidence intervals and, 128-130, 169, 171 large sample test for, 146-148 in paired comparisons, 175-176 population, 59,62, 80 confidence intervals and, 128-130, 169 hypothesis testing and, 146-148 of probability distribution, 60-61 of random variables, 61, 67-69 sample comparing small, 170-171 confidence intervals and, 130,171 distribution of, 104-106, 171 hypothesis testing for, 146-148 standard deviation from, 22, 24-25, 62, 168, 171 Mean response, predicting, in regression analysis, 204-206 Measurement енот, experimental design and, 183 Measures of spread, 19-25 Median, 17-18, 20-21 Midpoints, 10-11 Model properties, 59 Models regression, 199-202 stochastic random, 116-118 for two populations, 162 Monitoring programs power analysis in, 154-155 probability of type 11 errors in, 151-155 Mortality statistics, 13 Multiple linear regression, in regression analysis, 208 Multiplication rule, 45 binomial coefficient and, 76 conditional probability and, 42-44 Multivariate data, statistical analysis of cluster, 212 discriminate, 213 factor, 213 mu. See Population mean Mutually exclusive events, 39,42, 44 Natural bias, reducing, with paired comparison, 178 Natural variability experimental design and, 183-185 reducing, with paired comparison, 178 Nightingale, Florence, 13 Non-linear regression, in regression analysis, 208 Normal approximation, 87-88 Normal distribution, standard, 79-85 rule for computing, 85 table to find, 84-85 Null hypothesis (Ho), 140-141,144-145, 147-150, 152-153, 165-166. See also Hypothesis testing Numerical outcome, sampling and, 98-100, 104-105 Numerical weight, 32 ObjectiviM, 35 Observed value of r, 149-150 Observed value of z, hypothesis testing and, 144-145, 165-166, 169 Opportunity sampling. 97 Opportunity sampling design, 97 Order of data, 17 Outcomes elementary, 30, 32-38, 41 of events, rules for, 38-39 numerical, sampling and, 98-100, 104-105 Outliers, 18,21-23 Paired comparisons of gasolines, 174-178 means in, 175-176 paired and unpaired data compared, 177 178 small-sample i test statistic for, 176 standard deviation in, 175-176 Pascal, Blaise, 29 Pascal’s triangle, 77 Personal probability, 35 Polls bias in, 126-127 election, 114-127 error levels in, 124-127 Gallup, 127 hypothesis testing in, 143-145 as opposed to actual elections, 126-127 Pollution monitoring, probability of type II enors in, 151-155 Pool the sum of squares in comparing small sample means, 171 Population. See also Two populations compared properties, 59 proportion, 128-130 standard deviation, 59, 62, 80 Population mean, 59, 62, 80. See also Two populations compared confidence intervals and, 128-130, 169 hypothesis testing and, 146-148 Power analysis in monitoring programs, 154-155 Prediction line, 189 Predictor variable, in regression analysis, 189 Probabilities, 4, 27-51 approximate, 60 227
Probabilities (continued) characteristic properties of, 34 classical, 35 conditional false positive paradox and, 46-50 multiplication rule and, 42-44 continuous, 64 cumulative, 84 discrete, 64, 66 formulas for manipulating, 37-39 non-negative, 34 normal, 83-85 personal, 35 repeatable events and, 35 sample, 100 spread of, 67 Probability calculation, confidence intervals and. 117-119 Probability density, 66 of continuous random variable, 65 Probability distribution binomial, 77-78 graphs, 56-58 mean of, 60-61 properties of, 59 random variable, 55-58 table to find normal, 84-85 Probability graphs, 56-58 Probability of type II errors, 151 155 Probability statement, in hypothesis testing, 141-142 Probability zero, 63-64 Propot tion of successes. See Success rates Pseudo-random numbers, 65 P-value, in hypothesis testing, 141-142. 148 Random error fluctuations, in regression analysis. 199-209 Random experiment, 30, 32, 34, 36 sampling and, 98-100, 104-105 Randomization. 215-216 in experimental design, 183, 185 Random models, stochastic, 116-118 Random number generator, 65, 94 Random sampling independence and, 92-94,96 simple, 92-96, 167 steps to eliminate bias in, 167 used for confidence intervals, 114-115, 119 Random sampling design, 92-94 Random selection of jurors, 138-141 Random variables, 53-72 adding, 68-71 binomial. 74-76, 139-140 discrete, 63 mean of, 61, 67-69 piobability distribution, 55-58 sampling and, 98-100, 104-105 r, 107-109 variance of, 62, 67-71 Random variable t, 107-109 Random walk, 214 Regression, 187-209 Regression analysis best linear unbiased estimators (BLUE) in, 201-202 confidence intervals in, 203-206 correlation coefficient in, 196 dependent random variable in, 199-209 dependent variable in, 189 fitting process in, 189-196 hypothesis testing in, 207 independent variable in, 189,199-209 linear regression in, 189-190, 208 predicting mean response in, 204-206 predictor variable in, 189 random error fluctuations in, 199-209 regression diagnostics in, 209 response variable in, 189 rigged data in, 189, 192, 194-195, 205-207 spread of data in, 190-195 squared correlation in, 195 standard error (SE) without derivation in, 203 statistical inference in, 199-209 student weight experiment and, 188-209 sum of squared errors (SSE) in, 190-195 sum of squared regression (SSR) in, 194-196 Regression coefficient sample, 191-192 Regression line, 189-190, 208 Regression model, 199-202 Relative frequency, 10, 35, 60 Relative frequency histogiams, 11,57-58 Repeatable events, probability and, 35 Replication in experimental design, 183, 185 Resampling, 215-216 Response variable in regression analysis, 189 Right-handed alternate hypothesis, 144-145 Rounding off, 9 Round numbers, 10 Salk polio vaccine, 3 Sample means comparing small, 170-171 confidence intervals and, 130, 171 distribution of, 104-106 hypothesis testing for the population mean. 146-148 Sample probability, 100 Sample properties, 59 Sample regression coefficient, 191-192 Sample size, 91 comparing small, 170-171 confidence levels and, 124-125 increasing, 124-125 ZZS
sample size (conunued) standard error and, 98-103 testing large, 143-148 Sample space, 30-31, 33,41 Sample variance, 22 Sampling, 89-109 acceptance, 150 random, 95 independence and, 92-94, 96 steps to eliminate bias in, 167 used for confidence intervals, 114-115, 119 random experiment and, 98-100, 104-105 random variables and, 98-100, 104-105 standard deviation and, 101-103 Sampling design cluster, 95 opportunity, 97 random, 92-94 simple random, 92-94 stratified, 95 systematic, 96-97 Sampling distribution of the mean, 104-106 for proportion of successes, 163 Scatterplots, 188-189 random, 209 SD. See Standard deviation SE. See Standard error Senator Astute. See Election polls Sigma, 16. See also Summary statistics Significance level fixed, 141-142, 145 in hypothesis testing, 141-142, 145, 147-148 in scientific work, 141-142 Significance test for proportions, 143-145 used in inspection sampling, 146-148 Simple random sampling, 92-96, 167. See also Random sampling Smoke-detectors, as a decision theory example, 151-154 Special addition rule, for mutually exclusive events, 39, 42, 44 Special multiplication rule conditional probability and, 42-44 independence and, 43-44 Spinning pointer, 63-64 Spread, 14 of data in regression analysis, 190-192 sunt of squared errors relative to, 193-195 measures of, 19-25 of probabilities, 67 variance in, 22-23 Spread distance, squares of, 22 Squared correlation, in regression analysis, 195 Squared distance, 22, 61-62 Squared errors, sum of (SSE) in regression analysis. 190-195 Squared regression, sum of (SSR), in regression analysis, 194-196 Square root, standard deviation defined by, 23 Squares, pool the sum of, 171 SSE (sum of squared errors) in regression analysis, 190-195 relative to spread of data, 193-195 SSR (sum of squared regression), in regression analysis, 194-196 Standard deviation (SD) in comparing small sample means, 171 in comparing the means of two populations, 168 in confidence intervals, 117, 128-130 defined by square root, 23 from mean values, 22, 24-25, 168, 171 in paired comparisons, 175-176 population, 59, 62, 80 sampling and, 101-103, 107 spread measures and, 22 z-scores and, 24-25 Standard error (SE) in comparing small sample means, 171 in comparing the means of two populations, 168 Standard error (SE) in confidence intervals, 118, 128-130 sample size and, 98-103 without derivation, in regression analysis, 203 Standard normal distribution, 79-82 table for, 84-85 Statistical analysis of multivariate data, 212-213 Statistical hypothesis testing, 140-142, 144-145, 147-148, 165-166, 169 Statistical inference, 4 in regression analysis, 199-209 Statistical situations, 158-159 Statistics mortality, 13 summary, 14-26, 148 Stem-and-leaf diagram, 12, 18 Stochastic random models, 116-118 Stratified sampling design, 95 Student’s i. See t-distribution Subjectivist, 35 Subtraction rule for events, 39,44 Successes, number of, 75 Success rates, 99 comparing, for two populations, 160-163 confidence intervals for, 164 in hypothesis testing, 143-145 sampling distribution for, 163 Summary statistics, 14-26 in hypothesis testing, 148 Summation, 16. See also Summary statistics
in regression analysis, 190-195 relative to spread of data, 193-195 Sum of squared regression (SSR), in regression analysis, 194-196 Sum of squares, pool the, 171 Systematic sampling design, 96-97 rdistribution, 107-109 in comparing small sample means, 171 confidence intervals based on, 131-136 critical values for, 132-136, 150 hypothesis testing and, 149-150 Teamwork, 218 Test statistic in hypothesis testing, 140-141, 144-145, 147-148, 165-166, 169 small-sample t, for paired comparisons, 176 Time series analysis, 214-215 r-observed value, 149-150 Total variability due to the regression, 194-195 experimental design and, 186 Tukey, John, 12, 21 r-values. See r-distribution Two-by-two decision table, 152 Two-handed alternate hypothesis, 144-145 Two populations compared, 158-179. See also Population confidence intervals for, 164, 169 hypothesis testing, 160-163, 169 mean of, 168-169 model for, 162 sampling distribution for proportion of successes, 163 success rates, 160-164 Type I errors, 151-154 Type II errors, 151-155 Typical value, 14-18. See also Spread Variability natural experimental design and, 183-185 reducing, with paired comparison, 178 total due to the regression, 194-195 experimental design and. 186 Variables binomial random, 74-76, 139-140 continuous random, 63, 65,67 dependent, 189 dependent random, 199-209 discrete random, 63 random. See Random variables in regression analysis, 189, 199-209 Variance analysis of. See ANOVA of binomial distribution, 78 of continuous random variables, 67 of random variables, 62, 67-71 sample, 22 in spread, 22-23 Vertical scale, 11 Weight experiment, Penn State student, 9-12, 16, 18-26, 188-209. See also Regres- sion; Regression analysis x-axis, 80 y-axis, 80 z-observed value, hypothesis testing and, 144-145, 165-166, 169 z-scores, standard deviation and, 24-25 Z transformation, 84-88, 117-118 250
ABOUT THE AUTHORS WOOLUOTT ЫМТН IS PROFESSOR OF STATISTICS AT TEMPLE UNIVERSITY. WITH A B.S. ANP MA. FROM MICHIGAN STATE UNIVERSITY, ANP A PH.P. FROM TOWNS HOPKINS, HE IS THE AUTHOR OR COAUTHOR OF MORE THAN FORTY PUBLICATIONS IN SUCH PIVERSE AREAS AS OIL SPILL SURVEYS, STATISTICAL THEORY, ANP ENVIRONMENTAL STATISTICS. HE HAS APVISEP A NUMBER OF NATIONAL SCIENTIFIC PROGRAMS. HE PEBATES ANP KAYAKS WITH HIS WIFE, LEAH, ANP HIS TWO GROWN CHILPREN, KESTON ANP AMELIA. LARRY &ОЫЮС IS THE AUTHOR OR COAUTHOR OF A NUMBER OF BOOKS OF NON-FICTION CARTOONING, AS WELL AS THE FEATURE MEME CWSS/CS, APPEARING BIMONTHLY IN PLOVER MAGAZINE. A PROP-OUT OF HARVARP GRAPUATE SCHOOL IN MATHEMATICS, HE SEEMS TO HAVE COME FULL CIRCLE. HE LIVES IN SAN FRANCISCO WITH HIS WIFE, LISA, ANP TWO PAUGUTERS, SOPHIE ANP ANNA, ANP HOPES TO UNPERSTANP LIFE WHILE REMAINING CHAINEP TO HIS PRAWING BOARP.
I. Ч1ДСС If you have ever looked for P-values by shopping at P mart, tried to watch the Bernoulli Trials on “People's Court," or think that the standard deviation Is a criminal offense in six states, then you need The Cartoon Guido to Statistics to put you on the road to statistical literacy. The Cartoon Guide to Statistics covers all the central ideas of modem statistics: the summary and display of data, probability in gambling and medicine, random variables, Bernoulli Trials, the Central Limit Theorem, hypothesis testing, confidence interval estimation, and much more—all explained in simple, clear, and, yes, funny illustrations. Never again will you order the Poisson Distribution in a French restaurant! lAiuy Gonick is the author or coauthor of four previous cartoon guides by HarperCollins. Woollcott Smith is a statistician active in research and consulting, and a professor at Temple University. “Gonick is one of a kind." —Discover Im HarperPerennial A Division of HarperCollins Publishers Cover design and illustration ©1993 by Larry Gonick USA $15.00 CANADA $21.50 07931