Merit and Demerit of Means

A RITHMETIC MEANS :

Merits;

1. Arithmetic means rigidly defined by Algebraic Formula.

2. It is easy to calculate and simple to understand.
3. It is based on all observations of the given data.
4. It is capable of being treated mathematically hence it is widely used in statistical analysis.
5. Arithmetic mean can be computed even if the derailed distribution is not known but some of the
observation and number of the observation are known.
6. It is least affected by the fluctuation of sampling.
7. For every kind of data mean can be calculated.

Demerits;

1. It can neither be determined by inspection or by graphical location.

2. Arithmetic mean cannot be computed for qualitative data like data on intelligence honesty and
smoking habit etc.
3. It is too much affected by extreme observations and hence it is not adequately represented data
consisting of some extreme point.
4. Arithmetic mean cannot be computed when class intervals have open ends.
5. If any one of the data is missing then mean cannot be calculated.

GEOMETRIC MEANS :

Merits:

1. It is rigidly defined.
2. It is based on all the observations of the series.
3. It is suitable for measuring the relative changes.
4. It gives more weights to the small values and less weights to the large values.
5. It is used in averaging the ratios, percentages and in determining the rate gradual increase and
decrease.
6. It is capable of further algebraic treatment. As such, if the G.M. and the number of items of two
or more series are given, we can readily find out the combined G.M. of all the series by the
following formula:G1.2 = AL { N1 log G1 + N2 log G2/ N1+ N2 }For example, see the
illustration 54.

Demerits:

1. It is not easy to understand by a man of ordinary prudence as it involves logarithmic operations.

As such it is not popular like that of arithmetic average.
2. It is difficult to calculate as it involves finding out of the root of the products of certain values
either directly, or through logarithmic operations.
3. It cannot be calculated, if the number of negative values is odd.
 4. It cannot be calculated, if any value of a series is zero.
5. At times it gives a value which may not be found in the series, and may even be assured or
impracticable.

HARMONIC MEANS :

Merits;

1. It can be easily calculated; and can be easily understood. It is the reason that it is the most used
measure of central tendency.
2. As every item is taken in calculation, it is affected by every item.
3. As the mathematical formula is rigid one, therefore the result remains the same.
4. Fluctuations are minimum for this measure of central tendency when repeated samples are taken
from one and the same population.
5. It can further be subjected to algebraic treatment unlike other measures i.e. mode and median.
6. A.M. has also a plus point being a calculated quantity and is not based on position of terms in a
series.
7. As it is rigidly defined, it is mostly used for comparing the various issues.

Demerits;

1. It cannot be located graphically.

2. A single item can bring big change in the result. For example, if there are three terms 4, 7, 10 ; X
is 7 in this case. If we add a new term 95, the new X is 4+7+10+95/4 = 116/4 = 29. This is a big
change as compared to the size of first three terms’ X- .
3. Its value will be effective only if the frequency is normally distributed. Otherwise in case
skewness is more, the results become ineffective.
4. In case of open-end class intervals, we have to assume the limits of such intervals and a little
variation in X can take place. Such is not the case with median and mode, and there is no use of
the open-end intervals in its calculations.
5. Qualitative forms such as Cleverness, Riches etc. cannot give X as data can’t be expressed
numerically.
6. X cannot be located by inspection as in the case of mode and median.
7. Sometimes it gives impossible or laughable conclusions, e.g., if there are 60, 50 and 12 students
in three classes then average number of students is 60+50+42/3 = 50.67, which is impossible as
students can’t be in fractions.