A point estimate is the parameter of interest. For example, if you are constructing a confidence interval for ratio or interval variables, your point estimate could be the mean. Your mean is calculated from the sample data. if your variable is categorical, then a particular frequency could represent the point estimate. I compare the point estimate to movie critics (I know it sounds strange bare with me). If I wanted to critique a movie on a scale of 1 to 10, I have to tell you which movie I am talking about so you have a *point of reference. If I just say, man that was a good movie…you got to go see it. Wouldn’t you want to know which movie I am talking about? Of course! Who has time to guess? It’s called effective communication. *In statistics, you need to identify your focus when hammering away at the calculator. For confidence intervals, the point estimate tells the reader (okay) the mean is my point of interest.

-Moore to follow- Amy

### Like this:

Like Loading...

*Related*