Statistics Definition Statistics is the science of collecting, organizing, presenting, analyzing, and interpreting numerical data to assist in making

more effective decisions. Types of Statistics Descriptive Statistics: Methods of organizing, summarizing, and presenting data in an informative way. Inferential Statistics: A decision, estimate, prediction, or generalization about a population, based on a sample. Frequency Distribution A Frequency distribution is a grouping of data into mutually exclusive categories showing the number of observations in each class. Class midpoint: A point that divides a class into two equal parts. This is the average of the upper and lower class limits. Class frequency: The number of observations in each class. Class interval: The class interval is obtained by subtracting the lower limit of a class from the lower limit of the next class. Constructing a Frequency Table Step 1: Decide on the number of classes. A useful recipe to determine the number of classes (k) is the 2 to the k rule. such that 2k > n. Assuming 50 house hold ages . So n = 50. If we try k = 5, which means we would use 5 classes, then 25 = 32, somewhat less than 50. Hence, 5 is not enough classes. If we

let k = 6, then 26 = 64, which is greater than 50. So the recommended number of classes is 6. Step 2: Determine the class interval or width. The formula is: i (H-L)/k where i is the class interval, H is the highest observed value, L is the lowest observed value, and k is the number of classes. i= (55-20)/6 = 5.83

6
Round up to some convenient number, use a class width 6. House hold Age Frequency 20 up to 26 26 up to 32 32 up to 38 38 up to 44 44 up to 50 50 up to 56 6 14 12 7 9 2

Mean The arithmetic mean is the most widely used measure of location. It requires the interval scale. Its major characteristics are: All values are used. It is unique. The sum of the deviations from the mean is 0. It is calculated by summing the values and dividing by the number of values.

Median The Median is the midpoint of the values after they have been ordered from the smallest to the largest. There are as many values above the median as below it in the data array. For an even set of values, the median will be the arithmetic average of the two middle numbers.

Mode The mode is the value of the observation that appears most frequently.

Dispersion

A measure of location, such as the mean or the median, only describes the center of the data. It is valuable from that standpoint, but it does not tell us anything about the spread of the data. For example, if your nature guide told you that the river ahead averaged 3 feet in depth, would you want to wade across on foot without additional information? Probably not. You would want to know something about the variation in the depth. A second reason for studying the dispersion in a set of data is to compare the spread in two or more distributions.

Range

Range= Largest Value Smallest value The range of the food expenditure for the population can be measured by Range= 5681- 39 =5642 Here, Highest value = 5681 and Lowest value= 39. Mean Deviation Mean deviation, M = D
M = D
X X n

1058 683 .707 +........ + 912 683 .707 910

Here data sample for 910 house holds food expenditure are 1058, 1012, 237, .,912.
MD = 241105 .1 = 265 .2422 910
2

Variance Population Variance =

Population Standard Deviation

= =

N 149404622 .1 2 = 910 2 = 164180 .9034

( X ) =

( X )
N

149404622 .1 910 = 405 .19243

Correlation: Correlation is a group of techniques to measure the association between two variables. Coefficient of correlation: Coefficient of correlation describes the strength of relationship between tow sets of interval scaled or ratio scaled variables. Designated r, it is often referred to as Pearsons product moment correlation coefficient. It can assume any value from -1 to +1. A correlation coefficient of -1 or +1 indicates perfect correlation. Positive correlation coefficient +1 indicates that the relation is perfectly positive where as a negative correlation coefficient -1 indicates that the relation is perfectly negative. A coefficient of correlation close to 0 indicates very weak relationship.

Correlation Analysis based on our study data: I. Between Hosue Hold head schools in year and total educational expenditure: Ho: There is no association between house hold age school in years and educational expenditure . H1: There is an association between house hold age school in years and educational expenditure .

Descriptive Statistics Head's school (in yr) Total educational expenditure Mean 2.98 286387.71 Std. Deviation 3.933 1665844.733 N 911 911

Correlations Head's school (in yr) Pearson Correlation Sig. (2-tailed) N Total educational expenditure Pearson Correlation Sig. (2-tailed) N Head's school (in yr) 1 . 911 -.024 .469 911 Total educational expenditure -.024 .469 911 1 . 911

Conclusion is reject Ho as significant level is less than 0.05. We can conclude that there is likely a association between household head age and numbers of school is age. II. Correlation between total area of agricultural land and total value of all productive asset: H0 = There is no association between total area of land and total value of all productive asset. H1 = There is an association between total area of land and total value of all productive asset.
Correlations Total Area of agricultural land (in dc) 1 . 911 .159 .000 911 Total value of all productive asset .159 .000 911 1 . 911

Total Area of agricultural land (in dc)

Pearson Correlation

Sig. (2-tailed) N Total value of all productive asset Pearson Correlation Sig. (2-tailed) N ** Correlation is significant at the 0.01 level (2-tailed).

Conclusion:

Reject Ho since significant test is less than 0.05. There is an association between total area of agricultural land and total value of all productive asset. Regression Analysis: It is a technique to develop an equation to express the linear relationship between two variables. In addition it helps to estimate the value of the dependent variable based on a selected value of independent variable.

General Form of Linear Regression is: Where

Y = a+ b X

is the estimated value of dependent variable Y for a selected independent

variable X. a is the Y-intercept and b is the slope of the regression line.

Sy Sx

To find out the slope of the regression line, b = r

Where r is the correlation coefficient, S y is the standard deviation of Y and S x is the standard deviation of X To find out the Y intercept ,
_

a = Y b X
_

Where Y is the mean of Y and X is the mean of X

_ _

( X X )(Y Y ) To find out the correlation coefficient, r = ( n 1) S x S y

Example: Lets consider the below table which contains number of sales calls and number of copiers sold.

Fig. Number of sales calls and copiers sold for 10 sales persons. Now to find out the correlation coefficient r, first we find out
Sx = ( X X ) 2 = 9.1889 n 1
_

And, S = y

(Y Y ) 2 =14.337 n 1

Now

we

find

the

correlation

coefficient

( X X )(Y Y ) = r= ( n 1) S x S y

900 = 0.759 (10 1)( 9.189 )(14 .337 )

Then we find slope of regression line, b = r Next we find the intercept

_ _

Sy Sx

= .759 (

14 .337 ) = 1.1842 9.189

a = Y b X

= 45-1.1842(22) = 18.9467

Putting the value of a an b in the regression line we find the regression equation,

Y = 18 .9476 + 1.1842 X

From this equation we can find if a sales man makes 20 calls he or she may expect to sell 42.6316 copiers. Regression Analysis based on our study data: Ho = There is no association between Total Area of agricultural land and Total food expenditure . H1 = There is an association between Total Area of agricultural land and Total food expenditure . F 32.244 Sig. .000

Reject Ho as significant test value is 0 which is lower than 0.05 as 95% confidence level. Conclusion: 8

There is an association between Total Area of agricultural land and Total food expenditure .

Index Number
An index number measures the relative change in price, quantity, value, or some other item of interest from one time period to another. There are several ways we can combine the items to determine the index. Unweighted Indexes Simple Average of the Price Indexes Simple Aggregate Index Lespeyres Price Index Paasche Price Index

Weighted Indexes

Fishers Price Index Value Index Special Purpose Index Consumer Price Index Producer Price Index S&P Index

To know the use of Index number in different field we have taken the average earning of Male by Industry for different time period and calculated the Indices.

Average Monthly Earning for Male by Industry (Taka)

SL Industry
20072008 20082009

Nominal Earnings
Jul-Sep Oct-De Jan2008 2008 Mar 09 AprJun 09 20072008 20082009 Jul-Sep 2008

Real Earnings
OctJanDec Mar 09 2008 AprJun 09

1 2 3 4 5 6 7 8 9 10 11

Food and Drinks Edible oil Shrimp processing Rice/ Floor milling Bidi/ Cigarette Cotton textile Readymade garments Jute textile Leather Wood works Cane/ wooden furniture

3420 3,184 3,574

3790 3,578

3639 3,408 3,855

3691 3,48 1 3,88 9 2,56 5 2,08 4 5,45 6 4,23 4 5,38 7 3,92 3 3,26 6 5,43 2

3741 3,52 7 3,90 6 2,64 1 2,14 4 5,49 0 4,26 3 5,45 4 3,99 3 3,36 0 5,49 8

3790 3,57 8 3,96 5 2,70 4 2,15 3 5,53 4 4,31 6 5,48 7 4,04 2 3,42 8 5,55 3

3113 2,89 8 3,25 4 2,06 0 1,69 2 4,74 0 3,58 1 4,65 8 3,29 9 2,66 8 4,67 6

3169 2,98 4 3,32 9 2,21 7 1,79 4 4,66 6 3,61 6 4,62 0 3,37 2 2,82 1 4,65 6

3066 2,87 2 3,24 9 2,09 6 1,71 5 4,55 2 3,49 2 4,49 7 3,25 2 2,67 7 4,51 0

3124 2,94 6 3,29 2 2,17 1 1,76 4 4,61 9 3,58 4 4,56 0 3,32 1 2,76 5 4,59 9

3212 3,02 8 3,35 4 2,26 8 1,84 1 4,71 3 3,65 9 4,68 2 3,42 8 2,88 5 4,72 0

3222 3,041 3,370 2,299 1,830 4,704 3,669 4,664 3,436 2,914 4,720

3,965 2,264 2,704 1,851 2,153 5,209 5,534 3,936 4,316 5,119 5,487 3,624 4,042 2,933 3,428 5,139 5,553 5,352 3,177 3,859 5,337 4,145 5,402 2,035 2,487

10

SL

Industry
20072008 20082009

Nominal Earnings
Jul-Sep Oct-De Jan2008 2008 Mar 09 AprJun 09 20072008 20082009

Real Earnings
Jul-Sep 2008 OctJanDec Mar 09 2008 AprJun 09

13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31

Pharmaceuticals Match Rubber and Plastics Cement Glass and ceramic Basic metal Engineering Electricity, gas, water Construction Wholesale & retail trade Hotel (Residential) Restaurant Chinese restaurant Tea stall Road transport Water transport Railway transport Air transport Postal

4,893 5,361 3,956 4,285 3,595 4,009 6,613 6,970 4,452 4,849 4,092 4,561 3,365 5,073 4,913 3,085 3,024 4,089 5,210 2,631 4,819 7,170 6,882 7,422 3,471 3,830 5,544 5,369 3,539 3,493 4,512 5,655 3,056 5,354 7,546 7,397 8,000 3,996

5,169 4,183 3,796 6,830 4,613 4,367 3,616 5,320 5,164 3,322 3,272 4,339 5,485 2,878 5,130 7,397 7,175 7,867 3,767

5,25 9 4,24 3 3,87 2 6,84 4 4,69 1 4,45 5 3,69 0 5,38 5 5,23 3 3,39 6 3,37 6 4,41 3 5,54 6 2,94 8 5,21 8 7,45 0 7,28 0 7,91 7 3,83

5,30 8 4,26 4 3,94 3 6,95 6 4,79 2 4,49 4 3,76 5 5,48 0 5,31 2 3,49 1 3,46 0 4,48 1 5,60 3 3,03 2 5,32 1 7,52 9 7,37 0 7,95 0 3,94

5,36 1 4,28 5 4,00 9 6,97 0 4,84 9 4,56 1 3,83 0 5,54 4 5,36 9 3,53 9 3,49 3 4,51 2 5,65 5 3,05 6 5,35 4 7,54 6 7,39 7 8,00 0 3,99

4,45 2 3,60 1 3,27 1 6,02 4 4,05 0 3,72 2 3,06 1 4,61 6 4,47 2 2,80 7 2,75 1 3,72 0 4,74 0 2,39 4 4,38 4 6,52 4 6,26 1 6,75 1 3,15

4,49 8 3,61 9 3,33 0 5,88 5 4,03 9 3,81 2 3,17 7 4,63 3 4,49 4 2,93 1 2,90 0 3,78 4 4,75 3 2,54 0 4,48 3 6,38 0 6,23 1 6,76 6 3,31

4,35 5 3,52 4 3,19 8 5,75 5 3,88 7 3,68 0 3,04 7 4,48 3 4,35 1 2,79 9 2,75 7 3,65 6 4,62 2 2,42 5 4,32 3 6,23 3 6,04 5 6,62 8 3,17

4,45 2 3,59 2 3,27 8 5,79 4 3,97 1 3,77 2 3,12 4 4,55 9 4,43 0 2,87 5 2,85 8 3,73 6 4,69 5 2,49 5 4,41 7 6,30 7 6,16 3 6,70 2 3,24

4,55 6 3,66 1 3,38 5 5,97 1 4,11 4 3,85 8 3,23 2 4,70 5 4,56 0 2,99 7 2,97 1 3,84 7 4,81 1 2,60 3 4,56 8 6,46 4 6,32 7 6,82 5 3,38

4,557 3,642 3,408 5,925 4,122 3,877 3,256 4,713 4,564 3,008 2,969 3,836 4,807 2,598 4,552 6,414 6,288 6,800 3,397

11

communication 32 33 34 35 36 Banking & insurance Real estate Private education (Primary level) Private health services Community and personal services 8,200 3,161 1,974 4,130 4,635 8,653 3,652 2,286 4,575 5,069 8,462 3,440 2,108 4,383 4,898

8 8,55 5 3,50 9 2,16 2 4,44 5 4,97 7

2 8,64 2 3,62 5 2,22 8 4,53 5 5,03 4

6 8,65 3 3,65 2 2,28 6 4,57 5 5,06 9

9 7,45 9 2,87 8 1,79 8 3,75 8 4,21 7

4 7,31 6 3,03 3 1,87 3 3,82 5 4,26 0

4 7,13 0 2,89 8 1,77 6 3,69 3 4,12 7

9 7,24 3 2,97 1 1,83 1 3,76 3 4,21 4

4 7,41 9 3,11 2 1,91 3 3,89 3 4,32 2 7,356 3,105 1,944 3,889 4,309

Table 3: Average Daily Wage Rate Index of Agricultural and Nonagricultural Laborers by sex (Base: 2006-07=100)
Nominal indices Agriculture Non-agriculture 40.00 Male 2006-07 Oct-Dec Jan-Mar Apr-Jun 2007-08 Jul-Sep Oct-Dec Jan-Mar Apr-June 2008-09 Jul-Sep Oct-Dec Jan-Mar Apr-Jun 132.23 136.05 140.40 142.89 152.71 155.96 159.93 164.62 118.58 122.78 127.37 128.39 111.42 115.18 120.53 121.46 128.67 132.03 137.30 139.94 99.91 103.94 109.35 109.14 110.95 111.87 118.97 126.83 122.74 123.47 134.66 144.77 103.09 104.14 108.50 114.88 103.18 100.83 107.89 112.45 114.15 111.28 122.12 128.35 95.87 93.86 98.40 101.86 100.00 106.99 108.27 100.00 110.11 116.25 100.00 104.91 102.95 100.00 107.26 104.05 100.00 110.39 111.71 100.00 105.17 98.94 60.00 Real indices (deflated by CPI) General Agriculture Non-agriculture

Period Weight

General 100.00

12

Note: Weights of the agriculture and non-agriculture day laborers are derived based on LFS 2002-03, BBS.

On the basis of the above calculation and taking the 2006-07 as base year we can assume the following: 1. The agricultural earning has increased 64.62% using nominal data and 39.94% using real data. 2. The Non Agricultural earnings have increased 28.39% using nominal data and 9.14% using real data. 3. Overall earnings of male laborers have increased 42.89% against nominal data and 21.46% against real data.

13