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Brief note on the importance and scope of statistics

ANAND
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The importance of statistics in recent years cannot be over emphasized. The development in
statistical studies has considerably increased its scope and importance. It is no longer regarded
as the science of statecraft or a by-product of state administration. Now it embraces a host of
sciences-social, physical and natural. Statistical findings have assumed unprecedented
dimensions these days. Statistical thinking has became indispensable for able citizenship.
Statistics is of immense use in the following cases.
1. In Planning:
Planning is necessary for efficient workmanship and in formulating future policies. Statistics
provides the valued interpretation of facts and figures relevant to planning. Planning depends
on forecasting the future. Statistics provides the necessary tools of estimation and forecasting.
So statistics is indispensable in planning.
2. In Business :
Statistical knowledge is very helpful to the businessman. He formulates different plans and
policies using statistics. It helps him in forecasting the future trends and tendencies. To estimate
the market fluctuations, changes in the demand conditions etc. statistical techniques are often
used. Hence for becoming a successful businessman, ideas in statistics are essential.
3. In Economics :
Statistics are the straws out of which Economists have to make bricks. Statistics indispensable
in economic studies. Statistical data and their analysis are used to solve a variety of economic
problems such as in consumption, production, distribution of income and assets, poverty,
unemployment etc. These problems are described, compared and correlated by using statistics.
Use of statistics in Economics has led to the formulation of many economic laws like Engels law
of consumption, Paretos Laws of distribution of income etc. Similarly statistical tools like index
numbers are sued as economic barometers.
4. In administration :
In ancient times statistics was used as the science of statecraft. It was used to collect data
relating to manpower, crimes, income etc. for formulating different policies. In modem times, its
role has become manifold. It has become indispensable for the administrators. It is being widely
used formulating and forecasting different plans and policies of the state administration.

5. In Business Management:
Business manager take decisions in the face of uncertainty. Statistical tools like collection
classification, analysis and interpretation of data are essential in business-management. The
success of modem business primarily depends on accurate forecasting of the future demand and
mark trends. For this statistics is essential. Hence statistics is widely used in business
management.
6. In research activities :
One cannot think of undertaking any research activities without using statistics. Primarily,
statistical techniques are used for collecting information in any research. Besides, statistical
methods are used for analysis and interpretation of research findings. Thus there is hardly any
branch of study where statistics is not being used. It is used in all spheres of human activities.

Scope and importance of Statistics:


1. Statistics and planning: Statistics in indispensable into planning in the modern age which is
termed as the age of planning. Almost all over the world the govt. are re-storing to planning
for economic development.
2. Statistics and economics: Statistical data and techniques of statistical analysis have to
immensely useful involving economical problem. Such as wages, price, time series analysis,
demand analysis.
3. Statistics and business: Statistics is an irresponsible tool of production control. Business
executive are relying more and more on statistical techniques for studying the much and desire
of the valued customers.
4. Statistics and industry: In industry statistics is widely used inequality control. In production
engineering to find out whether the product is confirming to the specifications or not. Statistical
tools, such as inspection plan, control chart etc.
5. Statistics and mathematics: Statistics are intimately related recent advancements in
statistical technique are the outcome of wide applications of mathematics.
6. Statistics and modern science: In medical science the statistical tools for collection,
presentation and analysis of observed facts relating to causes and incidence of dieses and the
result of application various drugs and medicine are of great importance.
7. Statistics, psychology and education: In education and physiology statistics has found wide
application such as, determining or to determine the reliability and validity to a test, factor
analysis etc.

8. Statistics and war: In war the theory of decision function can be a great assistance to the
military and personal to plan maximum destruction with minimum effort.