Statistics for economics, accounting and business studies

Cover......Page 1
Title Page......Page 4
Copyright Page......Page 5
Dedication......Page 6
Contents......Page 8
Guided tour of the book......Page 13
Publisher’s acknowledgements......Page 15
Preface to the seventh edition......Page 17
Acknowledgements......Page 18
Custom publishing......Page 19
Introduction......Page 20
1 Descriptive statistics......Page 26
 Introduction......Page 27
 Summarising data using graphical techniques......Page 29
 Looking at cross-section data: wealth in the United Kingdom in 2005......Page 35
 Summarising data using numerical techniques......Page 46
 The box and whiskers diagram......Page 66
 Time-series data: investment expenditures 1977–2009......Page 67
 Graphing bivariate data: the scatter diagram......Page 82
 Data transformations......Page 86
 The information and data explosion......Page 89
 Writing statistical reports......Page 91
 Guidance to the student: how to measure your progress......Page 93
 Key terms and concepts......Page 94
 Reference......Page 95
 Formulae used in this chapter......Page 96
 Problems......Page 97
 Answers to exercises......Page 103
 Appendix 1A:  Σ notation......Page 107
 Problems on Σ notation......Page 108
 Appendix 1B: E and V operators......Page 109
 Appendix 1C: Using logarithms......Page 110
 Problems on logarithms......Page 111
 Learning outcomes......Page 112
 The definition of probability......Page 113
 Probability theory: the building blocks......Page 116
 Events......Page 117
 Bayes’ theorem......Page 129
 Decision analysis......Page 131
 Summary......Page 135
 Key terms and concepts......Page 136
 Problems......Page 137
 Answers to exercises......Page 143
 Learning outcomes......Page 147
 Introduction......Page 148
 Random variables and probability distributions......Page 149
 The Binomial distribution......Page 150
 The Normal distribution......Page 156
 The distribution of the sample mean......Page 164
 The relationship between the Binomial and Normal distributions......Page 170
 The Poisson distribution......Page 172
 Key terms and concepts......Page 175
 Problems......Page 176
 Answers to exercises......Page 181
 Learning outcomes......Page 183
 Point and interval estimation......Page 184
 Rules and criteria for finding estimates......Page 185
 Estimation with large samples......Page 189
 Precisely what is a confidence interval?......Page 192
 Estimation with small samples: the t distribution......Page 200
 Summary......Page 205
 Key terms and concepts......Page 206
 Problems......Page 207
 Answers to exercises......Page 210
 Appendix: Derivations of sampling distributions......Page 212
 Learning outcomes......Page 214
 The concepts of hypothesis testing......Page 215
 The Prob-value approach......Page 222
 Significance, effect size and power......Page 223
 Further hypothesis tests......Page 226
 Hypothesis tests with small samples......Page 230
 Are the test procedures valid?......Page 232
 Hypothesis tests and confidence intervals......Page 233
 Independent and dependent samples......Page 234
 Issues with hypothesis testing......Page 237
 Summary......Page 238
 Reference......Page 239
 Problems......Page 240
 Answers to exercises......Page 245
 Learning outcomes......Page 249
 The x2 distribution......Page 250
 The F distribution......Page 264
 Analysis of variance......Page 267
 Key terms and concepts......Page 274
 Problems......Page 275
 Answers to exercises......Page 278
 Appendix Use of x2 and F distribution tables......Page 280
 Learning outcomes......Page 282
 Introduction......Page 283
 What determines the birth rate in developing countries?......Page 284
 Correlation......Page 286
 Regression analysis......Page 295
 Inference in the regression model......Page 302
 Route map of calculations......Page 310
 Some other issues in regression......Page 312
 Gapminder again......Page 316
 Summary......Page 317
 References......Page 318
 Formulae used in this chapter......Page 319
 Problems......Page 320
 Answers to exercises......Page 323
 Learning outcomes......Page 326
 Introduction......Page 327
 Principles of multiple regression......Page 328
 What determines imports into the United Kingdom?......Page 329
 Finding the right model......Page 349
 Summary......Page 357
 References......Page 358
 Problems......Page 359
 Answers to exercises......Page 363
 Learning outcomes......Page 368
 Introduction......Page 369
 Using secondary data sources......Page 370
 Collecting primary data......Page 374
 Random sampling......Page 375
 Calculating the required sample size......Page 384
 Collecting the sample......Page 386
 Case study: the UK Living Costs and Food Survey......Page 389
 Summary......Page 390
 References......Page 391
 Problems......Page 392
 Learning outcomes......Page 393
 Introduction......Page 394
 A simple index number......Page 395
 A price index with more than one commodity......Page 396
 Using expenditures as weights......Page 404
 Quantity and expenditure indices......Page 406
 The Consumer Price Index......Page 412
 Discounting and present values......Page 413
 The Lorenz curve......Page 418
 The Gini coefficient......Page 421
 Concentration ratios......Page 426
 Key terms and concepts......Page 428
 References......Page 429
 Problems......Page 430
 Answers to exercises......Page 435
 Appendix: deriving the expenditure share form of the Laspeyres price index......Page 438
 Learning outcomes......Page 439
 The components of a time series......Page 440
 Forecasting......Page 451
 Further issues......Page 452
 Summary......Page 453
 Key terms and concepts......Page 454
 Problems......Page 455
 Answers to exercises......Page 457
List of important formulae......Page 461
 Table A1 Random number table......Page 467
 Table A2 The standard Normal distribution......Page 469
 Table A3 Percentage points of the t distribution......Page 470
 Table A4 Critical values of the x2 distribution......Page 471
 Table A5(a) Critical values of the F distribution (upper 5% points)......Page 473
 Table A5(b) Critical values of the F distribution (upper 2.5% points)......Page 475
 Table A5(c) Critical values of the F distribution (upper 1% points)......Page 477
 Table A5(d) Critical values of the F distribution (upper 0.5% points)......Page 479
 Table A6 Critical values of Spearman’s rank correlation coefficient......Page 481
 Table A7 Critical values for the Durbin–Watson test at 5% significance level......Page 482
Answers and Commentary on Problems......Page 483
 C......Page 511
 E......Page 512
 H......Page 513
 M......Page 514
 P......Page 515
 R......Page 516
 T......Page 517
 Z......Page 518