Welcome to On Statistics

The log-normal distribution is a continuous probability distribution that is defined as the logarithm of a random variable that follows a normal distribution. This distribution is commonly used in various fields such as finance, physics, engineering, and economics due to its ability to model positively skewed data. In this article, we will discuss the underlying…

Correlation is a statistical measure that describes the degree to which two variables are related to each other. In other words, it measures the strength and direction of the linear relationship between two variables. Correlation analysis is widely used in various fields such as finance, economics, engineering, and social sciences to identify trends, make predictions,…

Transforming data is an essential aspect of data analysis and machine learning. It involves converting raw data into a format that is more suitable for modeling and further analysis. In this article, we will discuss several techniques for transforming data using Python, with a focus on statistical concepts and practical applications. Statistical Concepts and Alternative…

Heatmaps are graphical representations of data where the individual values are represented as colors. They are commonly used in data analysis to identify trends, patterns, and correlations in large datasets. In this article, we will explore how to create heatmaps in Python using the Seaborn and NumPy libraries. Statistical Background A heatmap is a type…

What is the Poisson Distribution? The Poisson distribution is a discrete probability distribution that models the probability of a given number of events occurring in a fixed interval of time or space, given the average rate of occurrence of the events. It is often used when the number of occurrences is small and the events…

The Gini coefficient is a statistical measure of inequality, most commonly used to evaluate income or wealth distribution. It is named after the Italian statistician Corrado Gini, who introduced the index in 1912. The Gini coefficient ranges from 0 to 1, where 0 represents perfect equality (everyone has the same income or wealth), and 1…

The multinomial distribution is a multivariate extension of the binomial distribution, which models the probability of observing k successes and (n-k) failures in n independent Bernoulli trials. In other words, it models the probability distribution of multiple categories or outcomes in a single experiment or trial. This concept is widely used in various statistical analyses,…

The Exponential Distribution is a continuous probability distribution used to model the time between events in a Poisson Process. It is characterized by its memoryless property, meaning the probability of an event occurring in a small time interval is independent of the time elapsed since the last event. In this article, we will explore the…

The t-distribution is a probability distribution that is commonly used in statistical inference when the sample size is small and the population standard deviation is unknown. It is a bell-shaped distribution that is similar to the standard normal distribution, but it has heavier tails, which implies that it is more sensitive to outliers. The t-distribution…

Stratified sampling is a statistical method used to select a sample from a population in a way that the different subgroups or strata within the population are proportionally represented in the sample. This technique is particularly useful when we want to ensure that the sample has the same distribution of certain characteristics as the population….