The Advantage of Using Mean Absolute Deviation Rather Than Variance

question 119

Multiple Choice

The advantage of using mean absolute deviation rather than variance as a measure of dispersion is that mean absolute deviation ________.

• A) is less sensitive to extreme deviations
• B) requires fewer observations to be a valid measure
• C) is a relative measure rather than an absolute measure of risk
• D) considers only unfavorable (negative) deviations from the mean

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Definitions:

μ

A symbol representing the mean or average of a population in statistics.

≠ Symbol

Represents 'not equal to' in mathematical expressions, indicating that two values are not the same.

Null Hypothesis

A statement in hypothesis testing that assumes no significant difference or effect exists between certain measured phenomena or populations.

Directional

Pertaining to a hypothesis or test that specifies the expected direction of the relationship between variables.