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Statistical Sampling BUSA 2100 Sections 7.0, 7.7, 7.2, 7.3 Populations and Samples Definition: A population is the set of all items being considered. Definition: A sample is a subset (portion) of the population. Samples should be representative (microcosms) of the population. Samples should be “baby populations.” Use of Samples Using the entire population is time-consuming, expensive, and sometimes impossible. Types of sample surveys used to collect data about a topic or situation: Properly selected samples can provide accurate information, without using the entire population. Types of Sampling Convenience sampling: Just selecting items that are readily available. Types of Sampling, Page 2 Random Sampling: Select a sample so that each item in the population has an equal probability of being selected. Types of Sampling, Page 3 Random samples are very high quality. Disadvantage: They require a numbered list of the population. Types of Sampling, Page 4 Systematic Sampling: Beginning at a random starting point and selecting every kth item. As good (or almost as good) as a random sample, and easier to do. Types of Sampling, Page 5 Stratified Sampling: Divide the population into strata (groups) and select random subsamples from each group. Then combine the subsamples to do estimates for the entire population. Examples of strata: Uses: Nielsen TV ratings, political polls. Statistical Inference There are two branches of statistics. Descriptive Statistics (1st half of the course). Inferential Statistics (2nd half of the course). Definition: Inferential Statistics (or Statistical Inference) is using information from a sample to draw conclusions about a population. Statistical Estimates Population parameters are numerical values calculated from the population, e.g. mu and sigma. Sample statistics are numerical values from a sample, e.g. X-bar and s. Sample statistics are used as point estimates of population parameters. Using a sample, rather than the entire population, creates errors in estimation. Sampling Error Def.: Sampling Error is the difference between a sample mean (or proportion) & the population mean (or proportion). The amount of sampling error can be minimized in at least 2 ways.