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Understanding Measures of Central Tendency

Chapter 2 discusses measures of central tendency, which summarize a dataset using mean, median, and mode. The mean is the average of the dataset, the median is the middle value when data is ordered, and the mode is the most frequently occurring value. Each measure has its own merits and demerits, affecting their applicability depending on the data characteristics.

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0% found this document useful (0 votes)
9 views8 pages

Understanding Measures of Central Tendency

Chapter 2 discusses measures of central tendency, which summarize a dataset using mean, median, and mode. The mean is the average of the dataset, the median is the middle value when data is ordered, and the mode is the most frequently occurring value. Each measure has its own merits and demerits, affecting their applicability depending on the data characteristics.

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dark.breathe2008
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© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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Chapter 2: DATA PROCESSING

(MEASURES OF CENTRAL TENDENCY)


In the central tendency is the descriptive summary of data set.
statistics, a Through the single
value from the dataset, it reflects the centre of the data distribution. Moreover, it does not
provide information regarding individual data from the dataset, where it gives a summary of the
dataset. Generally, the central tendency of a dataset can be defined using some of the
measures in statistics.

Definition

The central tendency is stated as the statistical measure that represents the single value of the
entire distribution ora dataset. It aims to provide an accurate description of the entire data in
the distribution.

Measures of Central Tendency


The central tendency of the dataset can be found out using the three important measures
namely mean, median and mode.

CENTRAL TENDENCY

Central Tendency

Mean Median Mode

Measures of Central Tendency Arithmetic Mean

Arithmetic mean represents a number that is obtained by dividing the sum of the elements of a
set by the
number of values in the set. So you can use the
layman term Average, or be a little bit
fancier and use the word "Arithmetic mean"
your call, take your pick -they both mean the same.
The arithmetic mean may be either. A. Simple Arithmetic Mean B.
Weighted Arithmetic Mean
#Arithmetic Mean Formula( Ungroped Data)

If any data set consisting of the values b1, b2, b3, .., bn then the arithmetic mean Bis defined
as:

B (Sum of all observations)/


(Total number of observation)
= 1/n

b; b2+bz-t:+b
2 =

Properties of Arithmetic Mean

#Some important properties of the arithmetic mean are as follows:


#The sum of deviations of the items from their arithmetic mean is always zero, i.e. (x - X) = 0.

# The sum of the squared deviations of the items from Arithmetic Mean (A.M) is minimum,
which is less than the sum of the squared deviations of the items from any other values.

# If each item in the arithmetic series is substituted by the mean, then the sum of these
replacements will be equal to the sum of the specific items.

Aniwmehic Mean tpxmula:


O Foxmula 1
(umgroup Data): * = An:llemeke Mean
x Total
No. qvaniablen
toxmua 2 xouped Daa): n-Total [Link] evaton

NNSum ottal No. f


Me enmy
How to ealculade Hid valua'. ) X=Mid value
Series ?
9oup data
Leg: Lowen elay Boundaty
Ans: B t UCB UCB: 0ppen ela Bounday.
2
Merits of Arithmetic Mean

[Link] arithmetic mean is simple to understand and easy to calculate.

[Link] is influenced by the value of every item in the series.

A.M is rigidly defined.

[Link] has the capability of further algebraic treatment.

4.t is a measured value and not based on the position in the series.

Demerits of Arithmetic Mean

[Link] is changed by extreme items such as very small and very large items.

[Link] can rarely be identified by inspection.

[Link] some cases, A.M. does not represent the original item. For example, average patients
admitted to a hospital are 10.7 per day.

[Link] arithmetic mean is not suitable in extremely asymmetrical distributions.

Measures of Central Tendency- Median

A median is a positional number that determines the position of the middle set of data. It
divides the set of data into two parts. In which, one part includes all the greater values or which
is equal to a median value and the other set includes all lesser values or equal to the median. In
simple words, the median is the middle value when a data set is organised according to the
magnitude. The value of the median remains unchanged if the size of the largest value
increases because it is defined by the position of various value.

To evaluate the median the value must be arranged in the sequence of numbers, and the
numbers should be arranged in the value order starting from lowest to highest. For instance,
while evaluating the medium if there is any sort of odd amount of number in the list, the median
will be the middle number, with a similar number presented below or above. However, if the
amount is an even number than the middle pair must be evaluated, combined together, and
divided by two to find the median value.

Charecteristics of MEDIAN:

1."The median is that value of the variable which divides the group into two equal parts, one part
comprising all values greater and the other values less than the median."...L.R. Connor

[Link] is the middle value of the series when items are arranged either in ascending or
descending order.
[Link] divides the series into two equal parts. One part comprises all values greater than the
median and the other part comprises all values smaller than the median.

PROPERTIES OF MEDIAN

[Link] sum of deviations of items from median, ignoring the signs, is minimum.

[Link] is a positional average and hence it is not influenced by the extreme values.

Medan unmala
tox mula 1 (umgroup Data)
Median (+1) TD+al [Link]
O Foxmula 2 (toup Data
Median= L+ CFiL=auer e Bunday
Median elas*
N Total Sum of equma

euenuy o tamask an
elu
CF: Cumulaive xequany
uPto meian elas
elan imenval

MERITS OF MEDIAN:

(1) IT IS EASYCALCULATE AND SIMPLE TO UNDERSTAND

# It is easy to calculate and simple to understand.

# In many situations median can be located simply by inspection.

(2) NOT AFFECTED BY EXTREME VALUES

It is not affected by the extreme values i.e. the largest and smallest values. Because it is a
positional average and not dependent on magnitude.
(3) RIGIDLY DEFINED

It has a definite and certain value because it is rigidly defined.

(4) BEST AVERAGE IN CASE OF QUALITATIVE DATA

Median is the best measure of central tendency when we deal with qualitative data, where
ranking is preferred instead of measurement or counting.

(5) USEFUL IN CASE OF OPEN ENDED DISTRIBUTION

It can be calculated even if the value of the extremes is not known. But the number of items
should be known.

(6) REPRESENTED GRAPHICALLY

lts value can be determined or represented graphically with the help of Ogive curves. Whereas it
is not possible in case of Arithmetic Mean.

DEMERITS OF MEDIAN:

(1) ARRANGEMENT OF DATA IS NECESSARY

Since the median is an average of position, therefore arranging the data in ascending or
descending order of magnitude is time-consuming in the case of a large number of
observations.

(2) NOT BASED ON ALL THE OBSERVATIONS

#It is a positional average and doesn't consider the magnitude of the items.

#It neglects the extreme values.

(3) NOT A REPRESENTATIVE OF THE UNIVERSE

It is not dependent on all the observations so, it cannot be considered as their good
representative.
In case there is a big variation between the data, it will not be able to represent the data.

(4) AFFECTED BY FLUCTUATIONS IN SAMPLING

It is affected by the fluctuations of sampling and this effect is more than in case of Arithmetic
Mean.

(5) LACK OF FURTHER ALGEBRAIC TREATMENT

It is a positional average so further algebraic treatment is not possible. Like, we cannot compute
the combined median of two groups of data.
Measures of Central Tendency-Mode
The measure of central tendency mode is the value that appears regularly in the data set. On a
histogram or a bar chart, the highest bar in the chart is the mode. In the data set if the data has
multiple values and has occurred multiple times, then the data has a mode if the data have no
value repeats than it does not have a mode.

Typically, the mode is used with ordinal, category, and discrete data. Also, the mode is only the
measure that uses category data- for instance, the most liked flavoured ice-cream. But, the
category data doesn't have a central value because it is not possible to order the group.
However, the ordinal and discrete data has a mode with value and which is not in the centre. In
simple words, mode represents.

Characteristics of MODE
[Link] is that value which occurs most frequently in a distribution.

[Link] is the most common value found in a series.

[Link] is that value of the variable which has the highest frequency.

Mode foumula.

foxmula ( qroup Data):


A
ModeL+ 4+2 LXi
LLawen Bund any
Madal elas.
| 4= Difenen e 4xagur
in modal clas amd
Pnemodal clas.
2 Difenenu in nepe
mdal elas amd
Ps modal e lars.
i elm imeval
Merits of MODE:

(1) EASY T0 CALCULATE & SIMPLE TO UNDERSTAND

#t is very easy to calculate.

#In some cases it can be determined just by observation or inspection.

# Everyone understands the concept of majority. Mode is based on this concept so, it's easy to
understand.

(2)REPRESENTATIVE VALUE

# It is a value around which there is maximum concentration of observations.

#Hence, it can be considered as the best representative of the data.

(3) NOT AFFECTED BY THE VALUE OF EXTREME ITEMS

#It is not affected by extreme values of the given data.


# It can be calculated even if these extreme observations are not known.

(4) NO NEED OF COMPLETE DATA

#We can find mode even in case of open ended frequency distribution.

#We basically need the point of maximum concentration of frequencies, it is not necessary to
know all the values.

(5) USEFUL FOR BOTH QUANTITATIVE&QUALITATIVE DATA

#It can be used to describe quantitative as well as qualitative data.

#For example: In the surveys it is used to measure taste and preferences of people for a
particular brand of the commodity.

(6) GRAPHIC DETERMINATION

#It can be determined graphically with the help of Histogram.

DEMERITS OF MODE:

(1) NOT BASED ON ALL THE OBSERVATIONS OF THE SERIES

#The value of mode is not based on each and every item of the series as it considers only the
highest concentration of frequencies.
(2) SOMETIMES IT IS INDETERMINATE OR ILL DEFINED

#Value of mode may not be determined always.

# Some distributions can be Bi-modal, Tri-modal or Multi-modal.

(3) NOT RIGIDLY DEFINED

# There are two methods of determining mode, Inspection Method and Grouping Method. We
may not get the same value of mode by the two methods. So, it is not rigidly defined.

(4) AFFECTED BY THE FLUCTUATIONS OF SAMPLING

#Mode is affected by sampling fluctuations to a great extent.

# This effect is more than that in case of Mean.

(5) COMPLEX GROUPING PROCESS

Grouping of data is desirable for correct computation but it is a complex process and involves
so much calculations.

(6) NOT CAPABLE OF ALGEBRAIC TREATMENT

Since it is not based on all the observations and not rigidly defined, it is not suitable for further
algebraic treatment.

Common questions

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The arithmetic mean is sensitive to extreme values, making it less flexible in skewed distributions, while the mode may not be well-defined in datasets with no repeated values or multiple peaks . The median, unaffected by extreme values due to its positional nature, provides a more stable measure in such datasets. It also works with both open-ended distributions and qualitative data, where mode may fail to provide a clear measure due to its reliance on frequency .

Extreme values can significantly skew the arithmetic mean since it is calculated as an average of all values, which means particularly high or low values can disproportionately affect the result . The median, however, is the middle value in a dataset and remains unaffected by extreme values as it only depends on the positional average, not the magnitude of values. This makes the median a more robust measure in datasets with outliers .

The arithmetic mean is simple to calculate and understand, and it allows for further algebraic treatment and analysis since it is based on all items in a dataset . However, it is sensitive to extreme values, which can skew the mean and make it less representative of the entire dataset. Additionally, in asymmetrical distributions, the arithmetic mean may not be suitable as it does not always reflect the central value accurately .

Ogive curves can be used to determine the median graphically by finding the point on the cumulative frequency curve that corresponds to 50% of the data . Histograms can be used to find the mode by identifying the peak of the distribution where the frequency is highest, which visually represents the most frequent value in the dataset .

The median is calculated by arranging data in order and finding the middle value, making it less affected by extreme values, unlike the arithmetic mean, which involves averaging all data points and is sensitive to outliers . While the mean requires all data points and considers their magnitude, the median is a positional measure and does not rely on the specific values of data points besides their order .

A major limitation of the median is its reliance on the arrangement of data, which can be time-consuming for large datasets. Additionally, it does not consider the magnitude of extreme observations, potentially underrepresenting true variance in data . The median does not use every observation, hence it cannot be used for further algebraic calculations like combined medians and is affected by sampling fluctuations more than the mean .

The arithmetic mean can be disproportionately influenced by extreme values in asymmetrical datasets, resulting in a measure that does not accurately reflect the central tendency of the data. For instance, in income data where a few individuals have very high income, the mean can be much higher than the median, not reflecting the typical income level . Thus, it fails to accurately describe the distribution when skewness is present.

The mode's reliance on only the most frequent value means it does not account for the rest of the dataset, thereby reducing its sensitivity to changes across the entire data distribution. This lack of holistic consideration makes it less robust and reliable, especially when data doesn't have a clear repeating pattern or is multimodal . It can lead to misleading conclusions about the dataset's central tendency.

The mode is not based on all data observations and may not be well-defined, especially in multimodal distributions where multiple values occur with the same highest frequency, making it indeterminate or ill-defined . Additionally, it lacks capability for algebraic operations and is affected significantly by sampling fluctuations, which can limit its usefulness compared to mean or median .

The median is preferred when analyzing highly skewed distributions where extreme values might distort the mean, such as in income data or real estate prices. It is also useful in qualitative data where ranking is more relevant than actual values, and when dealing with open-ended distributions, as it does not require knowledge of extreme values . It is a positional average and is not influenced by large or small outliers .

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