Page 40 - DECO504_STATISTICAL_METHODS_IN_ECONOMICS_ENGLISH

Statistical Methods in Economics

Notes (iv) A table is a systematic arrangement of statistical data in ............ .
(v) In collection and tabulation ............ is the chief requisite and experience the chief ............ .
(vi) The number of observations corresponding to a particular class is known as the ............ of
that class.
3.5 Summary

• Moreover, classification and tabulation segregates the likes from the unlikes. The heterogeneity
is removed. The data are classified into classes and sub-classes according to their characteristics.
This process is called classification. The classified data are presented in prescise and systematic
tables. This process is called tabulation. By these two processes, the data collected are made
simple, easy to understand and carry out analysis and interpretations.
• Classification may be defined as the process of arranging the available data in various groups
or classes in accordance with their resemblances and similarities and keeping in view some
common features and objectives of study. Thus, through classification, an effort is made to
achieve homogeneity of the collected information. While classifying, the units with common
characteristics are placed together and in this way the whole data is divided into a number of
classes and sub-classes.
• The process of classification helps in arranging the data in such a way that the large mass of
irrelevant looking data becomes simple and easy to understand, avoiding unnecessary details,
making logical sense.
• Classification is done in accordance with the attributes or characteristics of the data. Such
classification is generally done where data cannot be measured. Under this classification method,
the presence or absence of an attribute is the basis of classification.
• The bases of classification are manifold, i.e., more than one attribute. In this method, classes/
groups are further classified into sub-classes and sub-groups. For example, population/sample
is first classified on the basis of sex, then for each sex (male or female) marital status forms two
sub-classes then further these sub-classes are classified as per their literacy state.
• The process of tabulation eliminates unnecessary details and present the complex data concisely
in rows and columns. This helps in simplifying the complex data which becomes more
meaningful and better understood.
• It is only possible after tabulation, that the data can be subjected to statistical analysis and
interpretation. Measures of correlation, regression dispersion etc can be easily calculated when
the data is in tabular form.
• A title is a brief statement indicating about the nature of the data and the time-span to which
the data relate. The geographical distribution of the data, if any, should also be indicated in the
title. The title should be in dark letters in comparison to other heads and sub-heads in the table.
• Footnotes are also used to describe the source of the data, if the data is secondary in nature. For
example, “the figures in bracket show the per cent rise over previous year” or “the profit above
is after tax” etc are some of the information which is given in footnotes.
• A table presents the statistical data in a systematic way in rows and columns which concisely
explain the numerical facts. Tabulation is nothing but the process of preparing a table. The
preparation of table is a specialised activity and is done through a set of rules.
• Neat and tidy appearance must be given to the table which can be done by providing proper
ruling and spacing as is necessary. If the table continues to the next page, no bottom line must
be drawn, as it would indicate the end of the table. Major and minor items must be given space
according to their relative importance. Coloured inks, heavy printed titles or sub-titles, thick
and thin ruling etc must be used to clarify a complex table.

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