Sample and Sampling Procedure: Population

Sample and Sampling Procedure
• Population
– The income of all families living in a city.
– The annual yields of all stocks traded on a stock exchange
– The costs of all claims for automobile accident insurance coverage received by a co. in a
given year.
– The mileage achieved by all cars of a particular model
• We might be interested in learning about specific characteristics, or attributes of these
populations. For example, we might want to make an inference about the mean or
variance of the population distribution of family incomes in the city, or about the
proportion of all families in the city with annual incomes below Rs 12000.
• The major motivation for examining a sample rather than the whole population is that
the collection of the complete information on the latter would be difficult and typically
expensive.
• Larger Parent Group : Population.
• Subset: Sample.
• If a sample is to be taken from a population, the eventual aim is to make statements
that have some validity for the population at large. It is important that the sample be a
representative of the population.
Randomness in Sampling
• Suppose a marketing manager wants to assess
the reactions to a new food product.
• It would be unwise of him to restrict his survey to
his circle of friends or to people living in his
immediate neighborhood. Such groups are very
unlikely to reflect the spectrum of views of the
population at large.
• It is important that the principle of randomness to
be embodied in the sample selection procedure.
That is every sample of same size has the equal
chance of selection.
Random sampling
 Suppose it is required to select a sample of “n”
objects from a population of “N” objects. A
random sampling procedure is one in which
every possible sample of n objects is equally
likely to be chosen. The resulting sample is
called a random sample.
 This type of sampling and the resulting
sample makes a true representation of the
population.
Sampling Distribution
• On the basis of sample information our

objective is to make inference about the whole
population.
• Ex. Given a random sample of mileage/liter
achieved by 20 cars of a particular model, one
can make inferential statements about the
mean and variance of mileage of all cars of
that model.
• Since from sample to sample, different values
will result for the sample mean, this quantity is
regarded as a random variable, which has a
probability distribution known as sampling
distribution (of means).
 Statistics.
 A particular
function of the sample (Mean,
Variance, Median etc).
 The sampling distribution of this statistics
is the probability distribution of the values
it could take over all possible samples of
the same number of observations drawn
from the population.
Example
 Let us the position of the supervisor with 6
employees whose experiences are
 2, 4, 6, 6 , 7, 8 (mean=5.5)
 Four of these employees are to be chosen
randomly and assigned a particular work
shift.
 There are 15 possible samples that could
be selected and they may have max 15
means.
Sample Means -Probability
90
80
3
70
2.5
60
2
50 East
Probability Y/15 1.5
40 West
1
30 North
0.5
20
0
10 4.5 4.75 5 5.25 5.5 5.75 6 6.25 6.5 6.75
Sample means
0
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr
Sampling Distribution Mean
• The mean of the sampling distribution of
the means is the population mean.
• If the samples of n observations are
repeatedly and independently drawn from
a population, than as the numbers of
samples are taken becomes very large
the average of the sample means becomes
very close to the true population mean.
• In the above example the mean of the
sample means is equal to 5.5 (the
population mean also).
Sampling Distribution of the
sample mean
• Let X1, X2, …,Xn be a random sample from
a population. The average value:
1 n
X   Xi
n i 1
Of these observations is called the sample mean.

We need to consider the sampling distribution of the
random variable X.
Variance of Sampling
Distribution of Means
X
• Standard error =  X 
n
• This says that the more observation in
the sample the concentrated is the
sampling distribution of the sample
mean about the population mean.
• If the number of sample member n is
not very small fractions of the number
population members N . In that case
x
X  n
N n
N 1
Sampling mean distribution from a
normal population
 If the parent population is normal, it is possible to
show that the sample means are also normally
distributed. Thus in the standard normal form we
have :
( X  x ) ( X  x )
Z  
X ( X / n )
Moreover, by Central Limit theorem, even if the population
distribution is not normal, but the sample size is moderately
large, then the distribution of X, will still be very close to
normal.
Examples-1 and 2.
 If the number of miles per gallon achieved by all cars
of a particular model has mean 25 and SD 2, what is
the probability that, for a random sample of 20 such
cars, average miles per gallon is will be less than 24 ?
Assume that the population distribution is normal.
 A manufacturer claims that the life of its spark plugs is
N distributed with mean 36,000 miles and SD 4000
miles. For a random sample of 16 of these plugs, the
average life was found to be 34500 miles. If the
manufacturer’s claim is correct, what would the
probability of finding a sample mean this small, or
smaller ?
Sample Proportion Distribution
 Let X be a number of successes in a binomial
sample of n observations , where the
probability of success is p ( In most
applications the parameter p is the
proportion of members of a large population
possessing a characteristic of interest). Then
the proportion of success
X
ˆx 
p
n
 In the sample is called sample proportion
Sampling distribution of the Sample
proportion.
ˆx)  p
E( p
p (1  P )
 pˆ 
x
n
p (1  P ) N n
 pˆ x 
n N 1
If the sample size is big
pˆx  p
Z   N (0,1)
 pˆ
• Notice that, for fixed p , the standard error of
the sample proportion decreases as the
sample size increases. That is, for increasing
sample size, the distribution of the p X
becomes more concentrated about its mean.
• In other words if we take a bigger sample from
the population, our inference about the
proportion of population members possessing
some particular characteristic becomes more
firm.
Examples
 Ex-3. A corporation receives 100 applications

for a position from recent college graduates
in business. Assuming that these applicants
can be regarded as the random sample of all
graduates, what is the probability that
between 25% to 35% of them are women if
30% of all recent graduates in business are
women.
Examples
► Ex-4.A random sample of 205 students in
adult education classes on a large college
campus it was found that 66% of the
sample members were not in the market for
cigarettes. What would be the probability of
observing a sample proportion as high or
higher than this if in fact 60% of all adult
education students on the campus are not
in the market for cigarettes.
Sampling distribution of
the sample variance
• Let X1,X2, …,Xn be a random sample from
a population. The quantity
n
s 2
x  1
n 1 (X
i 1
i  X) 2
Is called the sample variance. Its square root is

called the sample standard deviation
Chi-Square Distribution
 If the population is normal , we can have the 2
distribution with (n-1) degrees of freedom as given
below.
i n
( n 1) s 2  ( X i  X )2
 2
X
x
 i 1
 2X
The mean and variance of 2 distribution are equal to the
number of degrees of freedom and twice the number of
degrees of freedom respectively.
Sampling distribution of the sample
variance
E (s 2
x )  2
X
2 4 x
Var ( s 2
x ) n 1
( n 1) s 2 x
 2
x
is distributed
2
 Degree of freedom is n-1

Example
 Ex-4. A manufacturer of canned peas is concerned
with the mean weight of the product be close to the
advertised weight . In addition he does not want too
much variability in the weights of the canned peas ;
otherwise a large proportion will differ markedly
from the advertised weight. Assume that the
population distribution of the weights is normal. If a
random sample of 20 cans is checked, find the
numbers K1 and K2 such that
s2 X s2 X
(  2X
 K1 )  0.05, P(  2X
 K 2 )  0.05

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Sample and Sampling Procedure

• On the basis of sample information our

Of these observations is called the sample mean.

 Ex-3. A corporation receives 100 applications

Is called the sample variance. Its square root is

 Degree of freedom is n-1

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