Thursday, April 3, 2008

using and mis-using statistics....

The Use -- and Misuse -- of Statistics: How and Why Numbers Are So Easily Manipulated

From Knowledge@Wharton (April 2), a discussion of work by Wharton researchers on the use of statistics in the report defending Major League Baseball player Roger Clemens:

"By comparing Clemens only to those who were successful in the second act of their careers, rather than to all pitchers who had a similarly successful first act, the report artificially minimizes the chances that Clemens' numbers will seem unusual," they write. "Statisticians call this problem 'selection bias.'"

The article discusses other business examples of disputed statistics such as ads for Coca-Cola's Enviga beverage and a Wall Street Journal ad for Dreyfus Funds.

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