Question

Suppose you wanted to estimate the average household income of all Grand Canyon University (GCU) students. To expedite the process, you only gather household income data from all your friends who major in business at GCU. You then calculate the average income among your friends and report that it represents the average income of all GCU students. Is this a good approach? If not, how would you gather data to derive a better estimate? Explain your answer.

Answer 1

No, this isn't an awesome approach and must not be used. This is due to the fact we're using a selective statistics right here which is not a very good technique for any statictical inference.

Our whole assumptions depend upon the statistics. Hence our predominant purpose to acquire the appropriate and unbiassed records. For doing so, we must visit extra college students in place of simply our pals to as approximately their profits.

We have to take care that we are collecting the records from all the segments of the scholars(wealthy, Poor etc) and not just a particular segment like our pals who are more likely to be of identical section.

Then, we can also try to keep away from the extremes(too high earnings or too low profits) to consist of into our facts and they will skew the records to at least one improper facet which we do not need.

And intrepreting the result just using the average is also no longer a great concept and diverse statistical tools like speculation trying out ought to be used to reach to a conclusion