Recitation 1- Flaw of Averages

# Recitation 1- Flaw of Averages - Flaw of Averages Plans...

This preview shows pages 1–7. Sign up to view the full content.

Click to edit Master subtitle style 9/30/11 Flaw of Averages Plans based on average assumptions are wrong, on average.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
9/30/11 Why Statistics? Statistics is the study of random variables (numbers you don’t know) through their distributions. Why bother? Why not just use a “middle” value? For example, for a certain conference, anywhere from 200 - 300 people could possibly register. So, shouldn’t we plan for 250 people? NO !
9/30/11 Savage, Sam. "The Flaw of Averages." Stanford University. Web. 15 June 2010. <http://www.stanford.edu/~savage/flaw/>. A drunk man is stumbling along a busy highway. His average position is along the centerline, so he should live, right? Example: A drunk man

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
9/30/11 Example: Statistician Crossing a River Savage, Sam. "The Flaw of Averages." The Flaw of Averages. Sam Savage, 2000. Web. 15 June 2010. <http://www.analycorp.com/uncertainty/flawarticle.htm>.
9/30/11 Seriously though, why should one care about the Flaw of Averages?

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
9/30/11 A Practical Example: Retirement
This is the end of the preview. Sign up to access the rest of the document.

## This note was uploaded on 09/30/2011 for the course ENGRD 2700 at Cornell.

### Page1 / 9

Recitation 1- Flaw of Averages - Flaw of Averages Plans...

This preview shows document pages 1 - 7. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online