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Question

A measure of dispersion is a good supplement to the central value in understanding a frequency distribution. Comment.

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Solution

Dispersion is the extent to which values in a distribution differ from the average of the distribution. Knowledge of only average is insufficient as it does not reflect the quantum of variation in values.

Measures of dispersion enhance the understanding of a distribution considerably by providing information about how much the actual value of items in a series deviates from the central value. e.g., per capita income gives only the average income but a measure of dispersion can tell you about income inequalities, thereby improving the understanding of the relative living standards of different sections of the society. Through value of dispersion, one can better understand the distribution.

Thus a measure of dispersion is a good supplement to the central value in understanding a frequency distribution.


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