inferential statistics

inferential statistics definition - business

inferential statistics

A branch of statistics that uses sample data to make a judgment about a population of data. For example, suppose a researcher has compiled years of data for stock prices and dividends. Inferential statistics might compare the risk-adjusted historical returns of different categories of stocks in order to provide guidance for the best types of stocks to own. Compare descriptive statistics.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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