What do you understand by dispersion? Describe the various methods of
computing dispersion. Explain Lorenz Curve.
Answers
Answer:
Hello mate
Explanation:
The measure of dispersion indicates the scattering of data. It explains the disparity of data from one another, delivering a precise view of the distribution of data. ... In other words, Dispersion is the extent to which values in a distribution differ from the average of the distribution.
Answer:
The absolute measures of dispersion accurately display the dispersion of data in a given series. However, a drawback to them is that we cannot use them to compare dispersion for series that are in different units. The concept of relative measures of dispersion overcomes this limitation.
Such measures express the scattering of data in some relative terms or in percentage. Since they are devoid of a specific unit, the comparison between different series is hence possible. For every absolute measure of dispersion, there is a relative measure.
In other words, we can derive a relative measure by the ratio of absolute variability to the mean value or by the percentage of absolute variability. They are also known as coefficients of dispersion. The relative measures of dispersion which we will study are: