This can be regarded as a very popular question among a lot of students who are studying statistics. As we all know, statistics can be regarded as a complex subject and in order to do well in it, the students must develop a clear knowledge of the various terms that are frequently used in the subject. Here, we will be discussing the main difference between parameter and statistic. This discussion can be regarded as very important because it will help us in developing a clear concept regarding these two terms. This will help the students to understand the actual meaning of these terms. This will further help them in determining the exact application of these terms.
Now, it is appropriate to say that in order to understand the difference between two terms, we must have a proper understanding of each of those terms. Simply pointing out the difference is not enough. We must have a clear concept regarding the root cause of the difference. So, here we will be beginning our discussion with a detailed overview of the two terms, “parameter” and “statistic”. Thereafter, we will be discussing the main differences between these two terms. Thus, it is appropriate to say that by the end of this discussion, the students will be able to clearly distinguish these two terms with much ease. Hence, they will be able to confidently decide where to use these terms. Thus, they will be able to avoid a lot of silly mistakes.This will in turn help them in scoring good marks during examinations. So, without further delay, let’s get into our discussion of this informative topic.
Introduction to parameter
In this section, we will be providing a detailed overview regarding the parameter. This section can be considered as very important because it will help us in developing a clear idea regarding the topic, “difference between parameter and statistic“. So, let’s see what this term indicates. Now, the parameter can be considered as a fixed characteristic of the population that is based on all the elements of the population. The students should keep in mind that, here population refers to an aggregate of all units under consideration. These units will share common characteristics. This is a numerical value that remains unchanged. This is because every member of the population is surveyed to know the parameter. In other words, it indicates the true value that is obtained after the census has been conducted. It has been observed that the researchers are usually more interested in understanding population parameters. This is because of the fact that understanding the properties of a relatively small sample isn’t valuable by itself and hence, they feel considerably discouraged to do it. In other words, the scientists don’t care about a new medicine’s mean effect on just a few people. This characteristic can be regarded as a sample statistic and it will not help them much to understand the effect of that particular medicine. Instead, they will prefer to understand its mean effect in the entire population, which is a parameter. But at the same time, we need to keep in mind that measuring an entire population to determine its parameter exactly is usually impossible. This is because the entire population is too large and it is quite difficult to measure each and every one of the population. Thus, this can be regarded as a detailed overview of the term, “parameter”.
Introduction to statistic
In the previous section, we have provided a detailed overview of the term, “parameter”. Now, here, we will be discussing “statistic”. This discussion is very important because if we don’t have a clear idea regarding this term, then we will not be able to understand the main difference between parameter and statistic. A statistic can be defined as a numerical value that is obtained from a sample of data. In other words, it can be regarded as a descriptive statistical measure and it is a function of sample observation. As we all know, a sample is defined as a fraction of the population. In addition to that, this sample represents the entire population in all its characteristics. The main use of statistic is to estimate a particular population parameter. As we have already mentioned, determining the population parameters is quite difficult and hence, we use the sample statistic to get an idea of these parameters. Here, we have to keep in mind that from a given population, it is possible to draw multiple samples. The result obtained from different samples or the sample statistic will vary, from sample to sample. But still, we are often forced to use samples and their statistics.
Difference between parameter and statistic
Here, we will be looking at the differences between these two terms. So, let’s see what these differences are.
- A statistic can be regarded as a characteristic of a small part of the population. In other words, it is the characteristic of a sample. The parameter, on the other hand, is a fixed measure which describes the target population.
- The statistic is a variable and it is a known number that depends on the sample of the population. On the other hand, the parameter is a fixed as well as unknown numerical value.
- Another essential difference is that the statistical notations are different for population parameters and sample statistics. Thus, the students must go through these notations properly in order to avoid silly mistakes.
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Thus, from our discussion of the topic, “difference between parameter and statistic”, it can be concluded that these terms are quite different and they have their own significance as well. Here, we have provided a detailed overview of these terms. Thereafter, we have looked at the main differences between these two terms. Thus, this discussion can be regarded as extremely beneficial for all the students out there. It will help them in developing a clear concept regarding these terms which will help them to use these terms appropriately as per the requirement.