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Subject:

Re: Need Help for a Statistics problem

From:

Jay Warner <[log in to unmask]>

Reply-To:

Jay Warner <[log in to unmask]>

Date:

Fri, 16 Dec 2005 23:25:41 -0600

Content-Type:

text/plain

Parts/Attachments:

Parts/Attachments

text/plain (105 lines)

I feel I am rushing in where angels fear......

The selection of a sample from among 700 objects depends primarily  
upon what you wish to discover, and what sort of basic assumptions  
you make.

1)	If you assume that all the objects are randomly taken from a  
uniform population (i. e., an intro stat question set-up:(  , then  
selecting n items at random would do you just fine.  How many is n?   
You haven't said the quesiton to answer yet.

2)	If you assume that there are inherent differences in the sample of  
700 (for example, if you wish to know typical wage rate paid and you  
know that some of the 700 are retail stores, and the rest are  
manufacturers, you might wish to sample these two groups separately,  
keeping track of which group you were getting info from in each  
case.) then it may well benefit you to sample from the two groups, in  
the same proportion as each group appears in the 700.

3)	You also need to know what sort of question you wish to answer,  
_before_ you collect the data.  In fact, ask the question now to help  
decide how to make the sample.

there are too many alternative developments at this point, to answer  
your question in an email.  We need to know what you want to do with  
the sample (what questions you will ask of it), and what factors you  
think might influence the data and your actions based on it.   
['factors=selectable characteristics of the 700.]  IN the process of  
developing that question, and the factors, I suspect you will at  
least half answer your own question.  Such is statistics!

Now for question 2.

You ask for a model that will detect objects (businesses?) that are  
not altogether forthright about their activities (and presumably tax  
payments).  Would we all had such a detector!  The US Federal deficit  
would be cut in half overnight if everyone reported and paid as much  
taxes as the IRS thinks they should!

In your example, you would need to know how much business a  
restaurant is doing, and how much you would expect it to do for the  
size (number of tables) it is.  Again, the US IRS has excellent  
equations for predicting true business activity, but they may not  
want to pas them out to everyone.  National restaurant associations  
probably can tell you how much business you should expect to have,  
for a given size and location, and type of restaurant.  Such would be  
needed in order to work up business plans.  I expect the same would  
be true for other retail business firms as well.

Once you have the equations (model), you would need to put in the  
indicators of activity for each firm involved, and look for large  
deviations.  How much deviation indicates erroneous reporting?  that  
would depend on the accuracy and precision of the model.  You could  
at least select the 3 with the largest (tax loss) deviations, and  
look more closely at them.

Don't know if that approaches support for your solution, but I tried.

Jay

On Dec 16, 2005, at 4:00 PM, james brown wrote:

> Hello Dear
> I need to select among 700 objects  a good
> representative sample. These
> objects
> could be residential houses, commercial buildings,
> trucks, etc.
> How to get a good sample size and select a set of
> objects that is very
> representative.
>
> The second part of my question is to find a
> statistical model in R that
> detects objects that are most
> likely used as their owners told the municipality. For
> example, if a
> restaurant is suppose
> to have 5 tables, we want to know that it doesn't have
> more. The goal
> is to have a model that
> flags such restaurant for inspection.
>
> Cheers, Dan
>
> __________________________________________________
> Do You Yahoo!?
> Tired of spam?  Yahoo! Mail has the best spam protection around
> http://mail.yahoo.com
>

Jay Warner
Principal Scientist
Warner Consulting, Inc.
4444 North Green Bay Road
Racine, WI 53404-1216
USA

Ph:        262.634.9100
FAX:     262.681.1133
email:   [log in to unmask]
web:     www.a2q.com

The A2Q Method(tm) --- What do you want to improve today?

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