Choosing a Distribution

Importance of Distribution in Statistical Analysis
- Choosing suitable distribution critical for accurate, reliable conclusions.
- Data characteristics and context are key in deciding distribution.
Distribution for Discrete Data
- Binomial distribution works well for a fixed number of independent trials with binary outcomes and constant probability.
- Poisson distribution is proposed for rare events in a fixed interval of time/space, independent of the occurrence of other events.
Distribution for Continuous Data
- Normal distribution is used when data shows symmetric bell-shaped curve, centred around the mean.
- Exponential distribution suits data representing time between independent events in a Poisson process.
Critical Factor to Consider in Choosing Distribution
- Essential to understand properties and assumptions of each distribution in relation to the problem to make sound decisions and valid results.