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Parametric test

As explained in Effective Data Analysis

A parametric statistical test is a statistical method whose validity depends on assumptions about a specified probability distribution characterized by a finite set of parameters.

A parametric test uses a sample to infer something about a population whose data are assumed to follow a specified probability distribution. It can help analysts evaluate group differences or relationships, but its conclusions depend on whether the relevant assumptions fit the data. section 4.2.1 section 4.2

Choose a test that matches the question:

  • Use a t-test to compare two group means, including independent groups or paired before-and-after measurements. section 4.2.1
  • Use ANOVA to compare means across two or more groups; it can also accommodate multiple factors. section 4.2.1
  • Use Pearson’s correlation for a linear relationship between continuous variables. Linear and logistic regression model relationships with continuous and categorical outcomes, respectively. section 4.2.1
Figure 4.19 Parametric statistics assume that the population data follows a specific probability distribution and that you can make inferences about the parameters of that distribution based on your sample data.
figure

The figure links the assumed population distribution to the parameters estimated from a sample—the step on which parametric inference relies. section 4.2.1

Before interpreting a result, inspect the distribution rather than relying on a summary statistic alone. Many parametric tests assume normality, and many assume equal variances; extreme outliers can also matter. A histogram or boxplot can expose problems that a mean hides. Some skewed data can be transformed toward a normal distribution, but transformation is not a guarantee that the assumptions will hold. section 4.2.1 section 4.4

When transformation is not enough

Suppose an app’s user data form bimodal distributions. Square and square-root transformations still leave them far from normal. A one-way ANOVA is then unlikely to give reliable results; consider a test with different or fewer distributional assumptions instead of forcing the data into a familiar method. section 5.1 section 5.0

Why sample size changes interpretation

Two groups of students have mean scores of 80.4 and 79.9, with sample sizes of 45 and 44. Their difference is not statistically significant in the illustrated comparison. Increasing the sample size tenfold makes the result significant: a significance threshold alone does not communicate how large the difference is. section 4.2.1

Treat a p-value as part of an interpretation, not as a guarantee that a finding is important or that assumptions were met. Check whether the test suits the question and data, then describe the result and its limitations precisely to stakeholders. If assumptions remain unmet, evaluate non-parametric or semi-parametric alternatives. section 4.2.1 section 4.4 section 5.1.2

How Effective Data Analysis covers it

How deep it goes
Defines the population-distribution premise, distinguishes common tests, and illustrates assumption and significance pitfalls; detailed correlation and regression treatment is deferred.
Examples
Uses student test scores, sample-size changes, skew transformations, and bimodal app data to show how conclusions depend on assumptions.
What it assumes
Introduces the population-parameter premise while building on summary statistics and basic questions about groups and variables.
What you can do after
Evaluate/understand whether a familiar statistical test fits the data and communicate its inference with appropriate limits.
How it connects
Connects t-tests, ANOVA, Pearson’s correlation, regression, normality, p-values, and non-parametric alternatives.

Related concepts

This explainer was generated by Manning's knowledge graph from the text of Effective Data Analysis. The section links point to the parts of the book it draws on.