Risks and Odds Flashcards
(20 cards)
What is a binary categorical variable?
A binary categorical variable has only two options, such as “dead or alive.”
What is nominal data in statistics?
Nominal data consists of categories that have no particular order or ranking. Examples include types of fruit or colors.
What is ordinal data?
Ordinal data consists of categories that have a hierarchy or order. For example, a scale of 1-5 for satisfaction.
What is the definition of risk in statistics?
Risk is the probability that an event will occur. It is expressed as a decimal or percentage and is calculated as:
Risk = Number in Category/Total Population
How do you define odds in statistics?
Odds are used to describe the probability that an event will occur relative to the probability that it will not occur. It can be expressed as a decimal, ratio, or fraction, and it ranges from 0 to infinity.
Why do we need both risks and odds in statistics?
Both risks and odds describe the probability of an event occurring, but risks are easier to explain and understand. Odds, on the other hand, are needed for more complex statistical analysis, such as fitting statistical models to investigate covariates and predictors influencing the chance of an event happening.
What is the formula for calculating the risk ratio?
The risk ratio (also known as relative risk) compares the risk between two groups. It is calculated as:
Risk Ratio = Risk in group 1/risk in group 2
How do you calculate the odds ratio?
The odds ratio compares the odds between two groups. It is calculated as:
Odds Ratio = Odds in group 1/Odds in group 2
How do you calculate risk reduction?
Risk reduction is calculated by comparing the risk between two groups via subtraction:
Riskreduction = Riskingroup1− Riskingroup2
What is a point estimate in statistics?
A point estimate is a single value used to estimate a population parameter. For example, a sample mean can be a point estimate of the population mean.
What is a confidence interval in statistics?
A confidence interval is a range of values that is used to estimate a parameter, with a given level of confidence (e.g., 95%). It is often used to assess the uncertainty around a point estimate.
How do confidence intervals relate to risk and odds?
Confidence intervals are used to estimate the range within which a parameter, such as risk or odds, lies with a certain level of confidence. They give insight into the precision and reliability of the estimate.
How is the confidence interval visualized?
A confidence interval is often visualized as a range on a graph, with the point estimate (e.g., sample mean) represented by a line and the interval represented by a range of values around it.
How do odds differ from risk?
Risk is the probability that an event will occur, while odds compare the probability that an event will occur to the probability that it will not occur. Odds are typically used in more complex statistical modeling.
Why is it important to differentiate between risk and odds?
ifferentiating between risk and odds is important because while both describe the likelihood of an event, they are used in different contexts. Risk is easier to interpret for most people, whereas odds are often used in advanced statistical analysis, such as logistic regression models.
What does a risk ratio greater than 1 indicate?
A risk ratio greater than 1 indicates that the event is more likely to occur in the first group compared to the second group.
What does an odds ratio less than 1 indicate?
An odds ratio less than 1 indicates that the event is less likely to occur in the first group compared to the second group.
What factors influence risk perception?
Risk perception is influenced by factors such as the level of knowledge or certainty about the event, the trustworthiness of authorities providing information, the degree to which the risk is perceived as manageable, and personal attitudes toward risk (e.g., risk aversion or risk propensity).
What is the relationship between risk and statistical modeling?
Risk is an important parameter in statistical modeling, and understanding risk helps build models to investigate how various factors (covariates) influence the chance of an event happening.
What is the main difference between nominal and ordinal data?
The main difference is that nominal data has categories with no specific order, while ordinal data has categories that can be ranked or ordered.
