Probability and Statistics: 6.1: Parameter vs. Statistic

A parameter is a numerical value that summarizes a characteristic of a population, such as the average or total.

A statistic is a numerical value that summarizes a characteristic of a sample, such as the average or total.

A parameter describes a whole population, while a statistic describes a sample taken from that population.

This is a parameter because it describes the entire population of accountants.

This is a statistic because it describes a sample of accountants.

It means that the statistic provides an approximation of the population characteristic based on the sample data.

A sampling error is the difference between a sample statistic and the actual population parameter it estimates.

Understanding the difference helps in interpreting data correctly and making informed decisions based on sample data.

The percentage of all voters who support a candidate.

The percentage of voters in a sample who support a candidate.