Statistics 2nd ed

Story 11 — Normal distribution Use number 3 - reliability of a single mean

 

Normal distribution

 Use number 3

 

To make stat

regarding the reliability of a

single mean

 

Drama

A Cap for Wisconsin Farmers

 

Mike got his degree in Psychology from

UW Madison. Given the large number of

psychology graduates and also his doubts

regarding his suitability for psychology

practice, he found a job as a consultant

with the State of Wisconsin. Psychologists,

you should know, learn a lot of statistics.

Around the middle of last November, his

boss walked into his office and said:

 

Mike, I have a job for you. The governor

has decided to give a present to all

farmers in the State of Wisconsin because

they are very angry with the new taxes.

The gift will be a woolen cap. We want to

know the size of the cap. If we can find

the average head size of Wisconsin

farmers, we can give the order to a factory

in Milwaukee to make the caps. They are

woolen so they naturally stretch. If we

know the average head size we will be ok.

Since we only have one month to

complete this project, I expect you to

report to me with a plan and budget

tomorrow. 

 

Early the next morning Mike walked into

his boss’s office and handed him the

proposal. Three hundred personnel to

cover the entire state, to locate every

farmer, in one weak. Fifty 4x4 Jeeps to

safely travel to even the remotest towns.

One small aircraft to land in the northern

towns in case of snow. Three hundred

laptops. Ten German Shepherds to smell

the bears up and around Wausau. Budget.

$30,000.00.

 

His boss looked at Mike for 20 seconds

speechless. Then, in a completely

unemotional voice, he said:

 

Mike, in the State of Wisconsin we are

very careful with our money. No way. Find

a less expensive way by tomorrow.

 

Mike began to fear for his job. All day in

his office, all night in his home, he

scratched his head, drank a lot of coffee,

and prayed to Goddess Normal Curve.

 

I am not allowed to measure all farmer

heads. That is too expensive. I can,

perhaps, still find a way to use the normal

curve. If I can come up with a mean that

has a strong probability to be close to the

real mean… If I take measures of the

heads of many farmers and compute the

mean…. Can I be sure that this is close to

real mean? If not, I will lose my job. So,

what if I go out a second time and repeat

the data collection, just to make sure that

this mean was not a mean that I got by

chance but it was a mean close to the real

mean. Ah, that might be it! I go out

several times and each time I compute the

mean. In the end I graph these means (as

though they were scores).

 

Then I use the normal curve to reason

in some way. How? Let me see… The

normal curve would be graphing

means. So, the mean would be the

mean of the means. Can I play the

game of Nick? He was making

probability statements, predictions,

regarding the occurrence of scores,

using the standard deviation of the

scores. Ah! I can use the standard

deviation of the means. Then I can

reason, like Nick, that a mean close to

the mean of means, that is between

standard deviation -2 and +2 would

have a high probability of occurrence.

That’s it!

 

He prepares the budget, and early in

the morning he busts into his boss’s

office.

 

It will cost us $10,000, he says.

Good idea, but too expensive.

Tomorrow is the last day, boss says,

and with the palm of his hand he

points at the door.

 

Three in the morning, Mike is on his knees

in front of Goddess Normal Curve, buried

in statistics books and statistics journals,

and notes from his stat class. Suddenly he

comes across an article in a journal which

claims that you can calculate an estimate

of the standard deviation of the normal

curve that would be graphing means.

 

…that would be graphing means... Would

be…, he repeats this several times.

 

Would be, because this curve has only one

mean. Let me say it in another way. You

go out and you collect data from a large

sample. You can calculate an estimate of

the standard deviation of the curve that

would be graphing the means of samples

that you would be getting if you were

allowed to collect several samples.

 

Weird…, Mike mumbles. What good is it?

I want to be able to collect one sample,

calculate the mean, and tell my boss that

we can trust this mean as being close to

the real head size of Wisconsin farmers,

that it is reliable. What good is computing

an estimate of the standard deviation of a

curve and not know much else about this

curve…

 

The traffic noise picks up, it is six o’clock

in the morning. Another look at the

Goddess, and a supplication for

inspiration.

 

All I know is what Nick did, Mike says. He

placed the mean of his data on the normal

curve mean (middle). Unfortunately, I do

not have the mean of the means, since I

am allowed to take only one mean. Let me

place the letters TM in the middle of the

normal curve, TM for True Mean. TM will

remain forever unknown. Pretty spooky.

But I can place the standard deviation of

this “I-would-be-getting” curve, an

estimate of the standard deviation, to be

exact.

 

Ok, then what.

 

Weird things happen to people under

stress and in despair. Some people hear

voices, others are visited by angels,

others write poetry…

 

Got it! he suddenly exclaims, raises the

normal curve over his head, and dances a

cannibal dance around his desk.

 

Eight in the morning he rushes into his

Boss’s office.

 

One day, one sample, one mean, one

thousand dollars!  he yelps.

 

His boss pretends he is not listening.

 

I will go out, one day, collect many head

size scores, calculate this mean. Next, I

will compute an estimate of the standard

deviation of this curve that you did not

allow me to get the data for. I will then

run down two standard deviations from

the middle of the curve (-2 to +2).

 

Mike pauses to get some feedback from

his boss. Stone silence.

 

Grant me this, Mike continues in a loud

voice. This curve would be graphing

means, right? My one mean is one of

these means, right?

 

That is absolutely correct, and also

tautologous, boss says, and looks at Mike

with contempt. 

 

What is the chance that this mean

would be one of the 95 percent of

the means? Mike asks.

 

It’s highly probable, almost certain

boss replies.

 

Then the problem boils down to the

size of the standard deviation of

this curve, i.e., the estimate that we

will compute. If the standard

deviation is large, then we would

run the risk of producing caps that

are ridiculously large or small for

the heads of Wisconsin farmers. If

the standard deviation is small, our

mean would almost certainly be

close to the true mean, and we are

in business.

 

Mike carried out this project

successfully without any problems,

except that he was chased by a
playful bear at Wausau up north.

 

The formula for the calculation of

the estimate of the standard

deviation of the curve that we

would be getting if we were

allowed to get many samples, but

are allowed only to take one

sample, and so have only one

mean, is:

 

 

We read this as follows: standard

error of the mean equals the

standard deviation (of the data

from our one sample), divided by

the square root of the number of

data that go into the calculation,

i.e., the n. Yes, you guess right, the

official name for the estimate of

the standard deviation of the curve

that would be graphing means is

called standard error of the mean.

 

 

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