B AD 6243: Applied Univariate Statistics

1
B AD 6243 Applied Univariate Statistics

• Introduction to Statistical Concepts
• Professor Laku Chidambaram
• Price College of Business
• University of Oklahoma

2
Quantitative Research Questions

• Descriptive
• What is the GPA of the incoming MBA class?
• Difference
• Does the salary of new grads differ based on
  major?
• Relationship
• What is the relationship between gender and
  income in professional sports?
• Prediction
• Can we predict how much a manager will earn based
  on his education and level of experience?

3
Measurement Issues

• What is measurement?
• Mapping from one set to another
• Involves instruments and attributes
• Attributes of good measures
• Reliability
• Validity
• Comparability
• Objectivity
• Quantifiability

4
Types of Variables

• Categorical/Nominal
• Values have no intrinsic meaning (e.g.,
  1Democrat 0Republican)
• Ordinal
• Rank ordering (e.g., seed in Wimbledon)
• Interval
• Equal distance in scales means equal distance in
  property being measured (e.g., years, grades)
• Ratio
• Values represent equal amounts from an absolute
  zero (e.g., height, weight etc.)

5
Inferential Statistics
Population
Sample
Population parameters
Sample statistics
µ s s2 ?
x s s2 r

• More random the sample, more generalizable the
  results
• Larger the sample, more precise the estimate of
  the population parameter

6
Modeling Issues

• What is a model?
• Fit Statistical model represents observed data
  well
• Abundance of linear models
• Models Relations among variables
• Magnitude of effect (strength -gt part of overall
  available differentiation that is common)
• Significance of effect (sample size)