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What makes the range less desirable than the standard deviation as a measure of dispersion?
Wiki User
∙ 12y ago
Range can include outliers that are not normal values and can skew overall data. Most relevant values can be found within one or two standard deviations on a normal curve.
Wiki User
∙ 12y ago
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Why standard deviation is best measure of dispersion?
standard deviation is best measure of dispersion because all the data distributions are nearer to the normal distribution.
Does standard deviation and mean deviation measure dispersion the same?
No. The average of the deviations, or mean deviation, will always be zero. The standard deviation is the average squared deviation which is usually non-zero.
Which type of measure of dispersion is mostly used standard deviation or variance?
They are effectively the same but the standard deviation is more popular because the units of measurement are the same as those for the variable.
Which measure of dispersion represents variation from the mean?
Are you talking of this in means of Statistics? If you are, then the variation from the mean is measured in standard deviation.
How should the measure of risk of an asset be interpreted?
Risk is necessary in the investment world. The absolute measure of risk is the standard deviation which is a statistical measure of dispersion. The distribution curve shows how much an asset can deviate from its expected outcome.
Why standard deviation is best measure of dispersion?
standard deviation is best measure of dispersion because all the data distributions are nearer to the normal distribution.
Does standard deviation and mean deviation measure dispersion the same?
No. The average of the deviations, or mean deviation, will always be zero. The standard deviation is the average squared deviation which is usually non-zero.
What is relative measure?
These measures are calculated for the comparison of dispersion in two or more than two sets of observations. These measures are free of the units in which the original data is measured. If the original data is in dollar or kilometers, we do not use these units with relative measure of dispersion. These measures are a sort of ratio and are called coefficients. Each absolute measure of dispersion can be converted into its relative measure. Thus the relative measures of dispersion are:Coefficient of Range or Coefficient of Dispersion.Coefficient of Quartile Deviation or Quartile Coefficient of Dispersion.Coefficient of Mean Deviation or Mean Deviation of Dispersion.Coefficient of Standard Deviation or Standard Coefficient of Dispersion.Coefficient of Variation (a special case of Standard Coefficient of Dispersion)
Which type of measure of dispersion is mostly used standard deviation or variance?
They are effectively the same but the standard deviation is more popular because the units of measurement are the same as those for the variable.
Which measure of dispersion represents variation from the mean?
Are you talking of this in means of Statistics? If you are, then the variation from the mean is measured in standard deviation.
Why is standard deviation called the best of all measures of dispersion?
standard deviation is the best measure of dispersion because.. a)It measure the absolute dispersion b)It is most frequentlyused as prossesses almost all the the qualities that a good measure of variation have. c)It is beased on all observation. d)It is rigidly defined. e)It is capable of further algebraic treatment. f)It is least affected by the fluctuation of sampling.
What is difference between absolute measure of dispersion and relative measures of dispersion?
The Absolute Measure of dispersion is basically the measure of variation from the mean such as standard deviation. On the other hand the relative measure of dispersion is basically the position of a certain variable with reference to or as compared with the other variables. Such as the percentiles or the z-score.
What is the s d?
Standard deviation (SD) is a measure of the amount of variation or dispersion in a set of values. It quantifies how spread out the values in a data set are from the mean. A larger standard deviation indicates greater variability, while a smaller standard deviation indicates more consistency.
Do units of measure follow the standard deviation?
Units of measure do follow the standard deviation.
What is standard deviation used for?
Standard deviation is a measure of the spread of data.
Why do we need the standard deviation?
The standard deviation is a measure of the spread of data.
Why do you seldom use the mean or average deviation as a measure of dispersion?
because of grace severo
