Statistics: Measures of Central Tendency · Class 11 · CBSE · Commerce Economics
A distribution of monthly household incomes contains a few exceptionally high incomes. Which measure of central tendency would best represent the typ…
Practice question from Statistics: Measures of Central Tendency (Class 11 · CBSE · Commerce Economics), with the correct answer and a step-by-step solution.
medium · Subjective · Q-43573C
A distribution of monthly household incomes contains a few exceptionally high incomes. Which measure of central tendency would best represent the typical income, and why?
Solution
The median is appropriate for a skewed income distribution because it is resistant to extreme observations. Very high incomes can substantially increase the mean, whereas the median is based on the middle position.
More from Statistics: Measures of Central Tendency
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