The Role of Statistics in Mathematics
It should seem obvious that statistics plays a key role in
mathematics considering it’s a branch of applied mathematics.
However, statistics is in more than just its own separate branch of
math. You can find statistical techniques in integration,
differentiation, and algebra, and you can find those in statistics as
Much of math is based on probability and theories, and statistical
methods help make those mathematical theories that much more
accurate. Using averages, dispersions, and estimation allows you to
come up with conclusions that are closer to the real answer than
just taking a wild guess.
Examples of Statistics in Mathematics
Here are a few examples of statistics used in math:
There is an 80% chance that in a room full of 30 people that at
least two people will share the same birthday.
Find the range of the graph.
Find the mean, median, and mode.
As you can see, some of these are basic mathematics skills you
might remember from elementary school. These are used in
The Role of Statistics in Economics
Much of economics depends on statistics. Economists use statistics
to collect information, analyze data, and test hypotheses.
Relationships between supply and demand and imports and exports
are found using statistical information. The same can be said for
figuring out the inflation rate, the per capita income, and even the
national income account. A good example of statistics and
economics in the real world would be the Census Bureau and the
information they collect and use to decide many other political
The Role of Statistics in Accounting
Accounting involves mostly basic arithmetic, but when it comes to
creating accounting reports, statistics plays a key role. When
balancing and checking accounts, exactness is very important, but
when using those reports to decide how well the company is doing
and the trends within the business. You can also use statistics in
accounting to create projections for the next fiscal year.
The Role of Statistics in Banking
Banks use statistics for a great number of the services they offer. A
bank works on the idea that someone will deposit their money and
not withdraw all of it later on. They earn their profit by lending
money to others with interest, and the money they use is the money
other people deposit.
Bankers use statistical approaches to estimate the number of
people who will be making deposits compared to the number of
people requesting loans. A great example of statistics used in
banking is the FDIC’s own quarterly publication called Statistics
The Role of Statistics in Management and
A nation’s government runs on statistics. They use statistical data
to make their decisions regarding any number of things. Most
federal and provincial budgets are designed upon statistical data
because it’s the most accurate data available when estimating
expected expenditures and revenue.
Another great example of statistics in the government is figuring
out whether or not to raise the minimum wage due to a rise in the
cost of living. Statistical data gives the government the best idea
regarding whether or not the cost of living will continue to rise.
The Role of Statistics in Astronomy
It is impossible to take out a ruler and measure the distance of the
Earth from the sun. Unless, of course, you somehow manage to
invent a suit that can survive the temperatures of the sun and
design a ruler long enough to measure such a distance. However, it
would likely take you a very long time to measure such a distance
Instead, astronomers use estimates and mathematical theories to
devise their best guess to just how far items in the universe are
away from each other. This is why when you read a news report that
a star will likely be going supernova “any day now,” you have to
understand that “any day now” could mean tomorrow, a year from
now, or even ten thousand years from now.
The Role of Statistics in the Natural and
Biology, physics, chemistry, meteorology, sociology,
communication, and even information technology all use statistics.
For many of these categories, the use of statistics in that field
involves collecting data, analyzing it, coming up with a hypothesis,
and testing that hypothesis.
In biology, the use of statistics within that field is known as
biostatistics, biometry, or biometrics. Biostatistics often involves
the design of experiments in medicine, online pharmacy,
agriculture, and fishery. It also involves collecting, summarizing,
and analyzing the data received from those experiments as well as
the decided results. Medical biostatistics is a separate branch that
deals mainly with medicine and health.
Physics uses probability theory and statistics dealing mainly with
the estimation of large populations. In fact, the phenomenological
results of thermodynamics were developed using the mechanics of
There are further examples of statistics in these sciences fields
including analytical chemistry, which involves the presentation of
problems in data analysis and demonstrating steps to solve them.
Meteorology uses statistics in stochastic-dynamic prediction,
weather forecasting, probability forecasting, and a number of other
Sociology uses statistics to describe, explain, and predict from data
received. Like many of the sciences, communication uses
statistical methods to communicate data received. Information
technology also uses statistics to predict particular outcomes.
-By Amruta Goudar , 1-Bvoc analytics