Archive for November 20th, 2006

Deviation From the Mean - Part Two

According to Wikipedia the way those involved in probability analysis and statistical analysis, like scientists and actuaries, for example, explain the mean and standard deviations from the mean is as follows:

“At least 75% of the values in any population are at most two standard deviations away from the mean (see Chebyshev’s inequality). The actual percentage depends on the distribution, for example approximately 95% if the population has a normal distribution.

A large standard deviation indicates that the data points are far from the mean and a small standard deviation indicates that they are clustered closely around the mean.

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