17. Video: Two Useful Theorems - Central Limit Theorem

Two Useful Theorems - Central Limit Theorem

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The Central Limit Theorem states that with a large enough sample size the sampling distribution of the mean will be normally distributed.

The Central Limit Theorem actually applies for these well known statistics:

  1. Sample means (xˉ\bar{x})
  2. Sample proportions (pp)
  3. Difference in sample means (xˉ1xˉ2\bar{x}_1 - \bar{x}_2)
  4. Difference in sample proportions (p1p2p_1 - p_2)

And it applies for additional statistics, but it doesn't apply for all statistics! . You will see more on this towards the end of this lesson.