3

COLLECTION OF DATA

LEARNING OBJECTIVES
3.1 INTRODUCTION

3.2 PRIMARY AND SECONDARY DATA

3.3 METHODS OF COLLECTING PRIMARY DATA
3.4 CONSTRUCTION OF QUESTIONNAIRE OR SCHEDULE
3.5 CENsUS AND SAMPLING INVESTIGATION TECHNIQUES
3.6 TYPES OF SAMPLING (METHODS OF SAMPLING)

3.7 RANDOM SAMPLING

3.8 NON-RANDOM SAMPLING
3.9 PRINCIPLES OF SAMPLING

3.10 STATISTICAL ERRORS

3.11 SOURCES OF SECONDARY DATA

3.12 PRECAUTIONS IN THE USEOF SECONDARY

DATA

3.13 CENSUS OF INDIA

3.14 NATIONAL SAMPLE SURVEY ORGANISATION

3.1 INTRODUCTION
business world. Data is the base
Statistics has gained significant place in the modern complex
success and tailure of
on which the superstructure of
statistical investigation is made. The
data.
the quality, adequacy and accuracy of
investigation mainly depends upon

Statistical Enquiry
by any agencywherein relevant quantitative
Bystatistical enquiry, we mean aninvestigation ona topic
information is collected.
with the aid of statistical methods of
Thus, statistical enquiry implies search of truth
collection, compilation, analysis, interpretation,etc.
is to collect facts and figures relating to
For any statistical enquiry, the basic problem

particular phenomenon under study.

3.1
 Statistics for Economics
*
*

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3.2
**usse*********************

a sound and clear sol..

ution to a
******************

evidence for reaching

to collect
collection of data is
So, the purpose of
problem.

Important Terms statistical enquiry is

known as Investigator
who conducts the
Investigator:The person to collect theinformation
needs the help of certain persons
Enumerators:The investigator
known as Enumerators.
information is collected, are known
whom the statistical
Respondents: The persons, from
as Respondents.
information from individuals. The purpose of the
Survey: Survey is a method of gathering characteristics like
to describe some price, quality, usefulness.
survey is to collect data
conducted by asking questions about a particular
popularity, honesty, etc. Survey is
product or candidate from a large group people.
of

Collection of data is the first step in any statistical investigation. So, it is a very important

function. Let us discuss this with the help of Table 3.1:

Table 3.1: Production of Food Grains in India (Million Tonnes)
Year (X) Production of Food Grains (Y)

1970-71 108
1978-79 132
1979-80 108
1990-91 176
1996-97 199
1997-98 194
2001-02 212
2018-19
283
As in Table 3.1, the food grains production varies from
seen
year to year. As these values vary
they are called variable. A variable refers to quantity or attribute
whose value varies from
one
investigation to another. The variables are generally
In Table 3.1, the represented by the letters X, Y or L.
years are
represented by variable X and the production of food
variable Y. These values of the variables X
and Y are the 'data', from grains Dy
information about the trend of the which we can obtan
in understanding production of food grains in India.
'Data' is a tool, which hep»
problems by providing information.
In thefollowing sections, we will discuss the sources of
data collection. Let us first discuss data, types of data, methods and instrumenis
the sources
of data.
SOURCES OF COLLECTION OF
DATA
Sources of Data
Broadly, there are two main sources of data: Internal Sources
External Sources
G) Internal Sources; (ii) External
Sources.
Secondary Data
Primary Data
 Collection of Data
3.3

Internal Sources

In an organisation, when the data is collected from its reports and records, it is known as
internal sources of data.

.For example, a company publishes its annual report on profit and loss, total sales, loans,
wages, etc.

Data collected and compiled through internal sources is called internal data.

External Sources
External sources refer to the data collected from outside the organi

For exanple, if a Tour and Travels Company obtains information on 'UP Tourism' from
Uttar Pradesh Transport Corporation, it would be known as external sources of data.
Data collected and compiled through external sources is called external data.
.External Data can be collected from primary as well as secondary sources.
Collection of data is ofutmost importance in any statistical enquiry as no useful and valid conclusions
can be drawn in case of any inadequacies in data. Data may be collected either from a primany
rce, known as Primary Data' or from a secondary source, known as 'Secondary Data.

3.2 PRIMARY AND SECONDARY DATA

Pripnary Data
agency for the first
Primary data is the data which is originally collected by an investigator
or

time for some specific purpose.

primary data is collected is called the primary
source.
The source from which the
For example, Population census conducted by Government of India.

Such data is original in character as it is collected

for the first time. It is first hand information.

becomes Secondary Data.

Primary data once collected and published

Setgndary Data
The data which is not directly collected but rather obtained from the publishedor unpublished
sources, is known as Secondary Data.
It is also known as Second Hand Data.
the enumerators or investigators
themselves do not collect
These are not original data since
of the data collected by the others.
these data. They simply make use
For example, National Accounts Statistics published by
the CSO, EconomicSurvey published
by Government of India.
 3.4 Statistics for conomics
Between Primary Data and Secondary Data
Dreronce
Basis Primary Data Secondary Data
Originality Primary data are original because they are Secondary data are not origine
collected by investigator himself. investigatormakes use of the datajina)s ince
by other agencies. collecte
Source Primarydata are collected by some agency Secondary data are already colle.
or
person
by using the data processed by some
method of person or aand
collection. ready for use.
is and
Time Factor Itrequires longer time for data collection. Secondary data require less time
Cost Factor The collection of primary data requires The collection of
secondary data is o
a considerable amount of
cheape
money and as it is taken from published or unpuhi
personals as whole plan of investigation
is initiated.
material. lishet
Reliability and Primary data is more reliable and suitable Secondary data is less reliable and
Suitability to theenquiry as the investigator himself suitable as less
someone else has
collects it. the data which may
collere
ected
Precautions There is no great need not serve the purpose
for precautions while Secondary data should be used with area
using primary data. care and caution. at
Organisation Collection of primary data
requires
Factor
organisation set up. elaborate There is
no need for
organisational set uo
in case of
The basic difference
between primary data and
secondary data.
by one wil be primary, but the same secondary data
data used by another will make
is of 'degree'. The data
collected
collected by Ministry of Human it secondary. For
Resource with example, data
used by us, it becomes regard
if the same data is to birth rate in the
country is primary data. However,
secondary
3.3 METHODS OF
cOLLECTING PRIMARY DATA
There are various methods
of
collection of primary data are collecting primary data. The methods
presented
in the
following chart
commonly used for the
METHODS OF COLLECTING
PRIMARY DATA

Direct Indirect
Personal Information from
Oral
Correspondents Telephonic Mailed
Investigation Investigation Interviewss Questionnaires
Questionnaire Filled by
Direct Personal Method Enumerators
Investigation (Fersonal
Under this method, the
investigator Interview)
collects
contact with the data by
informant and conducts having direct
.The investigator
goes
to the on-the-spot enquiry.
field
respondents and convince them in personally, contact the
under study. giving the information
.The investigator or the
of interviewer has the
explaining the study and opportunity
respondents. answering any query of the
Collection of Data
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3.5
.The interviewer can
request the respondent to expand on answers that
important. The visual reactions of
the respondents can
are
particularly
Example:Hindustan Unilever Limited (HUL) wishes to conductprovide supplementary intormation.
a statistical
soap used by people of Delhi. For this, HUL will enquiry regarding bathing
select some investigators, who will
people of Delhi and collect the approach tne
necessary data. It is necessary that in such cases, the investigator
has a keen sense of observation and he is
very polite and courteous. He must be skilful, tactful,
accurate, amiable and neutral.

Suitability of this Method

1. When detailed informationhas to be collected.
2. When area of investigation is limited.

3. When nature of enquiry is confidential.

4. When maximum degree of accuracy is needed.

5. When importance is given ta originality.)

This method gives satisfactory results,iTtne scope of the enquiry is narrow and investigator is fully
dependable and unbiased.

Merits of Direct Personal Investigation

character.
1. Originality: The data collected is original in
facilitates collection of authentic and reliable
2. Reliable and Accurate: This method
information. The first hand information obtained by
the investigator himself is bound to
be more reliable and accurate.
as the investigator can vary
the nature of questions
3. Flexibility: This method is fairly elastic
to the need of the situation.
and seek different kinds of information according
in collection of information.
4. Uniformity: It provides uniformity
collected, along with the
Some
Information:
additional information may also get
5. Other
in future investigation.
information, which may prove to be helpful
regular of investigation
of collecting data is economical, in case thefield
6. Economical: This method
islimited.
This method allows use of all
questions. Open-ended
of Questions:
7. Sarit.le for all types a question can be clarified by the
also be used and any ambiguity in
questions can

investigator.
Demerits of Direct Personal
Investigation is
Areas: This method is not suitable when thearea ofcoverage
1. Not Suitable for Wide are to be contacted.
respondents
or when many
considerably wide and time consuming, particularly
This method is expensive
consuming:
2
Expensive andtime is large
when the field of investigation
 3.6
Statistics for Economics
3. Fersonal P'rejudice: The bias or preiudice of investigators can affect the accuracy.fect the
accuracy of dat
tO a large extent. There is a possibility of influencing respondents.
4. Trained l'ersonal: The entire success of this method depends upon
nterviewers must be thoroughly trained and unbiased, otherwise they may
the
investigator.sSo, the
ay not
not be able to
collect the information.
DIRECT PERSONAL INVESTIGATION

investigator collects data by having direct contact

with informant and conducts on-the-spot enquiry)

Merits Demerits

Originality Not Suitable for Wide Areas

Reliable and Accurate Expensive and Time Consuming
Flexibility Personal Prejudice
Uniformity Trained Personal
Other Information
Economical
Suitable for all types of Questions

Precautions for Direct Personal

1.
Investigation
Investigator should be well-versed with the statistical techniques and should have
temperament; good
2.
Investigator should be familiar with the culture, tradition and the
area; larnguage of the concerned
3.
Investigator should ask straight, simple and
4. No unambiguous questions from informants
personal bias should be used by the investigator.
Indirect Oral Investigation
Under this method, the
investigator approach third parties, who in the
information about the subject of
enguiry.
are
possession of
This method is used when the area
of
investigation is very large
reluctant to part with the information due or the respondents are
to various reasons.
The investigator a small
prepares list of questions relating to the
questions are asked different persons and their answers are investigation
from
recorded.
and these
The persons to whom these
questions are put are known as
This type of enquiry is witnesses.
usually conducted by the police
appointed by the government. department and enquiry committe
Example: Suppose we want to study the
number of students of a
purpose, personal investigation cannof be college who smoke. For u
successful as students
information as regards their
noking habits. To
get the information, the may not provide co
persons who are close to the respondent, like investigator contact
to con
has to
or has
persons who know the information. friends, lecturers, neighbours, relatives o the
Collection of Data
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3.7
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-e*** +
eoanunnoensnnng ernensansngn************.*********

Suitability of this Method

1. When concerned informants are unable to give information due to their

ignorance or they
are not prepared to part with the information;
2. When the area of investigation is very large;
3. When secret or sensitive information about the informant has to be gathered;
4. When the problem of investigation is complex and needs expert's opinion.
Merits of indirect Oral Investigation
1. Wide Coverage: This method is INDIRECT ORAL INVESTIGATION
suitablewhen the area ofinvestigation(vestgator approach thirdparties, who are in possession
of information about the subject of enquiry)
is large.
2. Economical: It is economical in terms
of time, money and manpower. Merits Demerits
Wide Coverage Indirect Information
3. Free from Bias: This method is
Economical Lack of Accuracy
relatively free from personal prejudice Freefrom Bias Partiality of Witness
as the information is collected from Expert Opinion - Lack of Interest of Informants
the persons who are well aware of the -Lack of Uniformity
situation.
4. Expert Opinion: Under this method, an investigator can seek opinion of the experts.

Demerits of Indirect Oral Investigation

1. Indirect information: The result can be erroneous because information is obtained from
other persons, not directly connected.
2. Lack of Accuracy: As compared with direct personal observation, the degree of accuracy

of the data is likely to be lower.

be biased.
Partiality of Witness: The persons, providing the information, may prejudiced
or
3.
the information,
4. Lack of Interest of Informants: Since the interest of the person, providing
and unreliable.
is not at stake, the collected information is often vague

5. Lack of Uniformity: The information

collected from different persons may not be
homogeneous and comparable.
Precautions for Indirect Oral Investigation

1. The number of the witness should be fairly large;

who possess sufficient knowledge about the proposed
2. Only those witness should be selected
investigation;
3. The investigator should neither
disbelieve nor completely believe the information provided
by the witnesses;
 StatistiCs for Economics
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3.8
to a s c e r t a i n the accuracy;
to make croSs check system
OrEs should be made
their approach and the wit.
interviewers are not subjective in
5. It must be ensured that view.
point of
c O Prejudicial
in favour of or against a particular
Investigation
Direct Personal Investigation Vs Indirect Oral
Indirect Oral lInvestigation
Basis Direct Personal Investigation
This method can be used to covera
Coverage This method is suitable for limited area.
area of investigation.
wide

The data collected is original in character. This method lacks originality as data is
Originality collected from the witnesses.

Reliability and Information collected by the investigator is There is a possibility of unreliable

and
accuracy more reliable and accurate. inaccurate information due to indirect
collection of data.

Cost This method is more expensive. It is an economical method.

Information from Correspondents

Under this method, local agents or correspondents are appointed and trained to collect te
information from the respondents.
This method of collecting primary data is used when
information at regular intervals of time is to be collected
from different places.
Agents or Correspondents regularly collect the data in their
jurisdiction and send them to the investigator.
This method is often adopted
by newspapers and periodicals
for information about
politics, business, prices, agricultural
and industrial output, stock market, etc.
Example: Suppose a textile industry is interested in the
demand This method is wideiy used
forecast of variety of cloths. The correspondents are by News Channels to collect
asked to collect the
information of different types of cloth and news information
quantity purchased by some
selected families or quantity sold in some reputed shops,
These data are sent to the investigator. every month.

Suitability of this Method

1. When regular and continuous information is required
2. When the of
investigation is very large:
area

3. When high degree of accuracy IS not required.

Merits of Information from Correspondents
AISdoCoverage: This method is usertul in
situations where the area IS very

large and periodic informauo s w De

Collected from the investigation
of
distant places.
Collection of Data
3.9

2. Economy: It 1S very economical in terms of money and resources.

3. Suitable tor Special Purpose: This method is suitable for some special purpose or

investigations.
4. Continuity: It is very useful for collecting regular information.

Demerits of Information from Correspondents

1. Lack of Uniformity: The information supplied by different correspondents often lacks

homogeneity, and hence, not comparable.

and
2. Danger of Partiality: The personal bias of the correspondents may enter the reports
to that extent, the accuracy is affected.
where high degree of
3. Lack of Accuracy of High Degree: This method cannot be used
accuracy is required.

4. Time Consuming: A lot of time is consumed to collect the information.

Precautions for Information from Correspondents

1. Appointment of correspondents should be made with full precautions.

2. The correspondents should not be prejudiced.

reasonable.
3. The number of respondents should be fairly large and
make minimum use of their own opinion.
4. Correspondents or investigators should
5. Correspondents should be educated
and familiar with the problem.

Telephonic Interviews
interview over the telephone with the
Under this method, data is collected through an

interviewer.
Good Morning Sir, I
in the cases where the
Telephone interview is better would like to ask certain

are reluctant to answer certain questions in questions from you

respondents
personal interviews.

television conduct Polls' with

the
Many of the shows on
interviews. Ok, go ahead
help of telephonic
is lower and fewer questionsmay
However, the response rate
the proceedings.
be asked before the respondentgetstired of

Suitability of this Method

1. When the respondents have
a telephone connection.
in shorter duration.
2. When the data is to be collected
 Statistics for Econo
3.1
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sn***********

nomica
Merits of Telephonic Interviews
for
TELEPHONIC INTERVIEWS
1. Wide Coverage: This method is useful Data is collected through an interview
telephone with the interviewerthe
conducting enquiry over a large area.
2. Economical: This method is cheaper as it

requires less time, money and labour. Merits Demerits

. Clarify doubts: It is possible to assist the Wide Coverage - Limited Use

respondent by clarifying the questions. Economical-

Visual feedbacks
not possible
Clarity Doubts-
Demerits of Telephonic Interviews
1. Limited The disadvantage of this method is access to
use: people. This methodi
possible for people who do not own telephones.
2 Visual feedback is not possible: Telephone Interviews also obstruct visual reactionso
s of the
respondents, which becomes helpful in obtaining information on sensitive issues

Mailed Questionnaire Methad

Under this method, the
investigator makes a questionnaire pertaining to thefield of investigatin
and send it to the
respondents, along witha covering letter, to collect informationfrom them
A
questionnaire consists of a list of questions pertaining to the investigation. Blank
are left for spacs
writing answers.
Usually a self addressed
stamped envelope is enclosed for
by post. returning the questionnair
Respondents are assured of the secrecy of the information
This method is supplied by them.
adopted by research workers and other official and
Nowa days, online
surveys or surveys through short
non-official agencis
messaging service i.e. SMS have become popular
Suitability of this Method
1. When the field of
investigation is very large.
2. When
respondents are literate and are likely to
Merits of Mailed co-operate with the investigation.
Questionnaire Method
1, Wide Coverage: This
method is
used for
reach remote areas.extensive enquiries cov
is the only method to
covering very wideareaa
Feonomy: This method is
3. Originality: The data are very much
economical as it requires less time,
money and labour.
the collection of data. original because
4. Free bias: Every question is
from
informants are dir directly nvolvedin

is free from the personal bias of interpreted by the "

investigator respondent in his
the Hence
or. wn way.
Collection of Data
********************* 3.11

5. Maintains secrecy: This method is suitable for sensitive questions and maintains the
anonymity of respondent.

Demerits of Mailed Questionnaire Method

1. Limited Scope: This method is applicable only where respondents are educated.
2. Less Accuracy and Precision: Under this method, the accuracy of data cannot be testified.
3. Lack ot Interest: Some informants may not care to fill up the questionnaire. When the
number of such persons who have not sent back the questionnaire is very large, it is

impossible to draw correct conclusions.

4. Chances of Misinterpretation: Informants may not understand the correct sense of questions,
and may not answer such questions. Sometimes, informants may provide vague and
ambiguous answers.

5. Time Consuming: The process is time consuming, particularly when the information is to

be obtained by post.
Precautions for Mailed Questionnaire Methobd
1. Questionnaire should be simple, short and attractive.
2. The questions should not hurt the informants and should not be very personal.
3. There should be a system, a sequence, and proper planning in the questions.

4. The object of enquiry must be clearly defined.

5. Efforts should be made to get information as early as possible.
6. The questionnaire should be accompanied by a self-addressed and stamped envelope.

Questionnaires Filled by Enumerators

with a questionnaire,
Under this method, the enunerator personally visits informants along
in his o w n language.
asks questions and note down their replies in the questionnaire
understand the true natureof questions and fills
The enumerator assists the informants to
to avoid vague and anmbiguous replies.
up the schedule himself,
should be tactful, well trained, unbiased
In order to getreliable information, the enumerator
and hard working.
organisations, big
This method is usually used by the government, semi-government
business houses, research institutes, etc.
known "Schedule".
The questionnaire filled by the investigatoris
as

and a schedule. A questionnaire is filled by the

There is no basic difference between a questionnaire
filled by the investigator.
respondent, while a schedule is

Suitability of this Method available

finance and trained enumerators are
Ihis method is most suitable where adequate
results obtained.
is attached to the accuracy of the
o cover a wide field and some significance
 Statistics for Econo.
3.12
Enumerators
for collectino
Merits of
Questionnaires

1. Wide Coverage:
Filled

This technique
by
of data
collection

from vast
can

areas.
be used

direct
informati
coming has a conta.
of people
from large
number
information:
Since the investigator
information.
with he
and reliable reliable
2. Accurate
accurate
and
to get the respondents in in vingthe
it is possible induce
respondents,
enumerator may
Better Response: The presence ofthe in case of Mailed Questionn
ire Methoa
(like
chances of non-response
intormation. So,
is less. limited possibility for partiality o
tiality or biase
Partiality: There is very
4. Limited Chance of
information. Questionnaire Metho
Unlike the 'Mailed
of illiterate respondents:
5. Useful in case
illiterate.
are
method can be used even if the respondents

Demerits of Questionnaires Filled by Enumerators

on training, remunerat.
as expenditure ration
Method: This method is very expensive
1. Costly or the agency collecting the data
and convevance are to be borne by
the investigator
time consuming as compared to other methos
2. Time Consuming: This method is more
enumerators coupled with personal bias mar
3. Partialitv: Inefficiency on the part of the
adversely affect the results of the enquiry.
4. Inability of Enumerator: If the investigators are negligent or not properly trained, the
results of investigations are likely to be misleading.

Precautions of Questionnaires Filled by Enumerators

1. Enumerator should be the person of high integrity and properly trained to use statistca
tools.
2. Enumerator should be polite, tactful, laborious and honest to his assigned work.
3. There should be timely evaluation of the work of enumerators.
4. The informant should be
properly educated about the objective of investigation.
5. Questions in the schedule should be small in length, simple and clear.

Pilot Surveys
From practical point of view, it is found
useful to conduct a pre-test known
on a small scale before as Pilot Survey
starting the main survey.
Once the draft questionnaire is
ready, it is advisable to conduct a try-out with a siau
group which is known as Pilot Survey
.It helps the
or
Pre-Testing of the
questionnaire.
investigator to have a rough idea of the information and
technique. the suitability O
.The investigator is also able to
determine
shortcomings and drawbacks of the ques ons.
.Pilot survey also helps
in assessing the suitability of
Derformance of enumerators and the cost and questions, clarity of instrucu S
time involved in the
actual survey.
Collection of Data
3.13
3.4 CONSTRUCTION OF QUESTIONNAIRE OR SCHEDULE
A questionnaire ora schedule is list
of questions relating to the problem under
a
investigation.
.The construction of a Schedule
Questionnaire
or a is
specific The art.
questionnaire have strong bearing upon the quality framing
a
and overall drafting of a of questions
the
of questionnaire.
Theretore, it is to beprepared on such a
informants.
pattern that it evokes the desired response from

Preparing a
questionnaire is a technical job and requires great deal of skill,
and practice.
a
expertise
The follouving general principles should be followed while designing drafting the questionnaire:
or
1. Covering Letter: A
very polite covering letter should be sent to the respondents along with
the questionnaire.
It should
clearly explain in brief, the objectives and scope of the survey.
It should ensure
respondents about their secrecy.
In case of mailed
questionnaire method, a self-addressed stamped envelope should be
enclosed.
To ensurequick and better response, the respondents may also be offered certain
incentives (free gifts, coupons, etc.).
2. Decision regarding Questions: To frame
questionnaire or schedule, first of all, we have to
take decision regarding various
questions to be incorporated. The selection of questions
depends upon the purpose of enquiry. So, precaution should be adopted to avoid irrelevant
or unnecessary questions.

The questions in the questionnaire may be broadly classified as follows:

(1) Simple Alternative Questions: These questions may be answered between two
alternatives such as yes or no, right or wrong, true or false. Such
types of questions
can be used where two clear cut alternatives exist. For
example:
Do you have a Car? Yes No
Are you interested in higher studies?
Yes/No
(i) Multiple Choice Questions (MCQs): In such questions, the possible answers are printed
in the questionnaire and the respondent is supposed to tick
any one of them. MCQs
are very easy and convenient for the respondents to answer. Such questions
time and also facilitate tabulation. For example:
How do you normally reach your office? (Tick anyone)
(i) Walk
i) Bus
ii) Two-wheeler (iv) Car D
(i) Specific information questions: The questionnaire should start from general questions
and proceed to more specific ones. This helps the respondents feel comfortable. Such
questions are asked to obtain some specific information. For example
 Statistics for Economics
3.14
*******************-*** e
.. .****************

1. Are you married?

are there in your family
1ow many members
3. Are you unemployed? answered by respondent in the
t
pen Questions: These types of questions
are to be in his
t.

OWn words. The questions should be such that it is possible to answer them in.few

answer. For example:

Words. Such questions leave the door open to any
. How can the problem of unemployment be solved?

2. How can the industrial growth rate be maintained?

3. What is your monthly income?

Two Types of Questions

1. Closed-ended or structured questions can beeither"Two-way Questions' or Multiple
Choice Questions (McQs)'. Closed-ended questions are easyto use, score and code
foranalysis, because all the respondents respond from the given options. However, such
questions are dificult to frame as the alternatives should be clearly written to represent
both sides of the issue. It is also possible that the individual's true response is not present
among the options given. Due to this reason, the choice of Any Other is provided.
2. Open-ended or unstructured questions allow for more individualised responses,
butthey are difficult to interpret and hard to score, since there are lot of variations in the
responses.

3. Number of
Questions: The number of questions should be
as small as
possible. Long
questionnaires discourage people from completing them. Only those questions which
have a direct relevance to the
problem be included.
4. Simple and short
Questions: The questions should be clear, brief, and
question should be framed in such a manner that their answers are unambiguous. The
specific and precise.
5. Avoid Question requiring calculations: The
or questions which force the respondent to questions relating to mathematical computations
For example, informants should not be
recollect from his memory should not be asked.
asked yearly income, since in
are paid monthly. most of the cases they

6. Avoid Questions using double negatives: The questions starting with

Don't you" as should be avoided,
they
"Wouldn't you" or
may
questions like 'Don't you think smoking should be
lead to biased
responses. For example, a
as Do you think smoking should be
prohibited?" This question can be reframe
prohibited?
7. NoPersonal Questions: The questions affecting the pride and
should be avoided.Similarly, the questions sentiments of the responden espondents

pertaining
beasked.Sensitive questions, which may irritate the
to their
private affairs should never
ould nev
should not be asked. respondents or may hurt
urt their
their feelings
tee
Coiection of Data

3.15
s. Avoid leading
Questions: The question should not be
clue about how the leading question, which gives
a
respondent should answer. a

9. Questions should be Logically

so that a natural and
Arranged: The questions should follow logical a
spontaneous reply to each question is induced. For sequence
illogical to ask a man his income before example, it will be
asking him whether he is employed or not.
10. Proper division and sub-division of
divided under different heads and Questions: Questions should be divided and sub-
sub-heads should be
convenience of the informant and the properly numbered for the
investigator.
11. Instructions the Informants:
to
The questionnaire should provide necessary instructions
about the terms and units in it. Clear and
definite instructions for filling in the
and address, where completed questionnaire
questionnaire should be
sent, must be given.
12. Cross Examination: The questionnaire should be set in a
way so that there be cross
examination of the information supplied by the informants. The aim is to may
checks on the accuracy of information provide internal
supplied by respondents. For example, the question
the
about age can be supplemented with another
question on date of birth.
13. Questionnaire should look attractive: A
questionnaire should be made to look as attractive
as
possible. The printing and the paper should be of good quality and enough space should
be provided for answers.
14. Pre-testing the Questionnaire: Before actually using a
questionnaire, a test check must
always be done by obtaining answers from some respondents. The questionnaire should
be modified, if necessary, in the light of these answers.

Specimen Questionnaire- Consumer Eating Preference

1. Name:
2. Age: -

3. Address:
4. Sex: Male Female
5. Phone: Landline Mobile
6. Monthy Family Income:
Less than 30,000 O30,000 to 40,000
D
40.000 toR 50,000 More than 50,000
7. What kind of food do you normally eat at home?

North lIndian South Indian Mughlai

Chinese 0 Continental Italian
Fast Food Others
8. How frequently do you eat out?
OOnce Twice Thrice More than thrice
In a week
Twice Thrice More than thrice
In a fortnight Once
More than thrice
In a month Once Twice Thrice
 3.16
**nas*n********
Statistics for Econo
9. You usually go out with:

Family
Friends Colleagues
Others
10. Any specific days when you go out:

Weekdays Weekends Holidays

No specific days
Special Occasions
11. You
generally go out for:
Lunch Snacks Dinner
Party/Picnics Others
12. Where do
you usually go:
Restaurant Chinese Joint Fast Food Joint
Others
13. How much do
you spend on eating out (one time):
Below 300 300-500 500-800
More than 800
14. Which is
your favourite eating point:
Nirula's Haldiram's
Bercos McDonalds
Pizza Hut Dominos
OOthers
15. What are the
distinguishing factors you look for, while eating out: (Rank from 1 to 8,
Quality 8-highest score
Service Location
Wide Menu Range Price
Home Delivery Taste
Others
3.5 CENSUS ANDSAMPLING
INVESTIGATION TECHNIQUES
Statistical investigation is done on the
When basis of data collected from
a statistical enquiry the relevant field of
is conducted, an enquiry is to be enquiry
investigation is to take account of whole determined as to whether the
by either of the two methods: (i) Census population or only a part of it. A survey may be conducten
Method; (ii) Sampling Method.
Census Method
When a statistical
is collected from each and investigation
js conducted iwherein, the data
every element of the
known as census method. population, it is
.This method is
generally adopted when area of
is
limited and an intensive
study investigation
of the
required. population is
Highly trained investigators are
degree of accuracy. needed to maintain
a high
Census workers taking detalis
of a Kashmiri
family on tne
outskirts of Srinagar, Inoie
Collection of Data 3.17

Demographic data on birth and death rates, literacy, workforce, life expectancy, size and
composition of population, etc. are collected and published by the Registrar General of India.
The famous example of this method is the Census of India conducted after every 10 years.
The last Census of India was held in 2011.
Census method is also known as Complete Enumeration' or "100% Enumeration' or Complete
Survey.
Census ofIndia 2011
According to Census 2011, the population of India stood at 1,21,01,93,422 comprising of
62,37,24,248 males and 58,64,69,174 females. India is the second country in the world after
China to cross the one billion mark.

Merits of Census Method

1. Intensive study of population: It providesintensive andin-depthinformationcovering many
facets of the problems. Forexample, in a population census, it is not the number of persons
which is counted, but information like number of males and females, age, marital status,
educational and occupational level, income and health conditions, etc., are also obtained.
2. High degree of accuracy and reliability Since every item of the population is observed
to collect highly accurate and reliable information.
personally, it is possible
3. Suitability of the method: This method is suitable when different items of the population
are not homogeneous.

Demerits of Census Method

item of the
population, it is a
1. Expensive: Since the data are obtained by observing every
very expensive method of investigation, especially in case of a large population.
volume of data are to be collected under
2. Needs
moretime and manpower:Since a large needed for its collection, analysis and
census investigation, more time and manpower are
interpretation.
population. Ifthestudy
3. Inapplicability: Census method cannot be applied in case ofinfinite cannot be conducted.
of tyres on road, census
involves destruction, as in case of testing

Sampling Method
these
are selected and data collected from
When only some representative items of a population
method is knouwn as Sampling Method.
items are used for the analysis, the

sample is a part of universe population.

or
A is
sample is to identify the population. Once the population
The first task in selecting a
the entire
representative sample as it is difficult to study
researcher selects a
identified, the
population. of providing
is generally population and is capable
smaller than the
A good sample lower cost and shorter
time.
about the population at a much
accurate information
reasonably
 Statistics for Econon
* * * * * * * * *

3.18 Example: An investigator interestedin conducting an engquiryinto monthly expenditure

students)
i to expenditurei as
o
********

take a sample (say, 500 st

may
The investigator
sing of totalof 5,000
students.
Comprisin students.
e c o r d evidence of whole population of 5,000

Population or Population'
is used. Population
is defined.
edas
term 'Universe'
in the field of statistics, the
composed of peopie
or tnings, which are
items, whether
he aggregate of individual
subjected to a statistical investigation. the 5,000 studente
by all
or example, if we want to study the monthly
expenditure incurred
ents
the universe or population.
O a school, then 5,000 students constitute

Factors Affecting Size of Sample

The following points should be kept in mind while deciding the size of sample:
1. Size of Population: In case of large size of population, sample size would be bigger and
and
vice-versa.
2. Degree of
Accuracy Desired: If greater degree of accuracy is desired, the size of sample
should be larger. However, if samples are selected by an
experienced person on the basis
of scientific method, better results can be
ensured, even in case of small size of sample.
3. Homogeneity or Heterogeneity of the Population: In case, the population consists of
homogeneous units, a small sample will be serve the purpose. On the other hand, if the
population consists of heterogeneous units, a large sample is
4. Nature of the required.
Study: In case of intensive and continuous
study, a small sample is quite
appropriate. On the contrary in case of unrepeated and extensive
to take a
larger sample size. study, it may be necessary
5. Respondents' Nature:
If it is seen that a
then a larger large number of respondents will not
sample should be selected. co-operate,
Requisites of a Good Sample
In order to reach at
right conclusions, a
characteristics: sample must
possess the following essenu al
1.
Representative: The selected sample should be
population. representative of the characteristics or e
Adequacy: To ensure that all the
sample, its size must be adequate. characteristics of a population are
Homogeneity: As far represented Dyy the
as
possible, the
should be homogeneous. population from which
4. Independence of selected
a
sample is tot to be obtained

sampling units: The

in the sample should be done selection of
independently of each other.various itemsofof the
the pupopul
lation
 3.19
Collection of Data

To have correct picture of the problem under

5. Matches with objective of investigation: in view the objective of investigation.
investigation, it is important to draw a sample keeping

Exit Polls L also try to predict the

channels provide election coverage and they
During elections, news
a random sample of
results. Such results are predicted through
exit polls. Under exit poll,
booths are asked whom they voted for. From
the data of the sample
voters, who exit the polling
made.
of voters, the prediction is

Method
Merits of Sampling collection
is economical than the technique as the task of
census
1. Reduced Cost: It
more

confined only to a fraction of the population.

and analysis of data is
Smaller volume
2. Greater speed: In this method, only
representative units are approached.
also in the processing, editing
data time not only in collecting the information, but
of saves
investigation can be done at greater speed.
a
and analysing the data. As result, sample
a
it gives m o r e
When sampling is conducted scientifically and carefully,
3. Greater accuracy: it is
to the c e n s u s procedure.
Since the scale of operation is smaller,
accuracy as compared work can
in a sample investigation. Follow-up
to use well trained investigators
possible
be undertaken much m o r e effectively.
highly
where trained investigators or specialized
4. Greater scope: There can
be investigations
are needed to collect
the information.
equipments the census
limited availability of such personnel and equipments,
In the event of
difficult to carry out.
investigation may become method.
than census
m o r e readily adaptable
In such cases, sampling procedure is remains at low level.
In case of sampling, scale of operation
5. Administrative Convenience: which leads to
c a n be conveniently managed,
and supervision
So, planning, organisation
administrative convenience.
as
scientific than census investigation
Approach: Samnple investigation is more
6. Scientific results. This may not be always
to determine the extent
of reliability of its
it ispossible
possible in census method. area of study are
method, the number of units and the
7. Detailed Enquiry: Under sampling about the population
to collect detail and in-depth information
small. So, it is possible
under study. alternative.
There maybe circumstances when sampling is
the only
8. Exceptional Applicability:
or the population
is spread over a
is infinitely large
example, if the size population
of
For census method.
information using
it may be difficult to collect
area,
large geographical the enquiry, such
as testing
when destruction is involved in conducting
Similarly, the enquiry.
method is the only resort in conducting
explosives, sampling
3.20
********* eseadea***sredes ita"**********"*****
Statistics for Economics
Demerits of Sampling Method
Apart from the given advantages, nple techniques have some disadvantages also. These.
These are.
hod are based
1. Difficult to achieve cent percent acuracy: Theconclusions ofsampling metho
only on the results of a sample taken from the whole population. Therefore, achievino
ring a
hundred percent degree of accuracy is not possible.

2. Lacke mpling metho

Lack of Representatliveness of the Sample: The accuracy of conclusions ofsampling method
depends upon whether the sample is representative of the characteristics of thepopulation
In practice, it is very difficult to obtain a sample which is true representative of all th
the
characteristics of the population.
3. Bias in the selection of sample: If the investigator is biased, then he mightselectsample
deliberately. In such cases, selected sample cannot be a representative of the characteristis
of population.

4. Lack of Specific or Specialized Knowledge: Tobe effective, sampling techniquerequires

a particular level of specialized knowledge. If the services of experts are not used in
the collection and analysis of sample data, the results of investigation are likely to be

unsatisfactory.
5. Not possible in case ofheterogeneous population: A population is said tobe heterogeneous
if its items or sampling units are not similar with regard to the characteristics under
investigation. In case of heterogeneous population, any sample may not correctly reflect
the characteristics of the population. In this case, sampling is not advisable.

METHODS OF CONDUCTINGSURVEY
Census Method Sampling Method
(Data is collected from (Only some representative items
each and every element of a population are selected and
of the population) data collected from them are
used for the analysis)

Merits Demerits Merits Demerits

Intensive study of Expensive Reduced Cost Difficult to achieve 100%
population
High degree of accura- Needs more time and Greater Speed Accuracy
cy and reliability manpower
Greater Accuracy Lackof Representativeness
Greater Scope Bias in the selection ofsample
Suitable when Inapplicable in
population is not case of infinite Administrative Convenience Lack of Specialized Knowiledge
homogeneous population Scientific Approach Not possible in case of hetero
Detailed Enquiry geneous population

Exceptional Applicability
Collection of Data
**************s***ines*************isiesse* **.****nea t****d************** * * *
3.21
Census

Sample
-

bifference Between Census Method and Sampling Method

Basis Census Method Sampling Method
Nature of Enquiry Extensive enquiry is conducted as each Limited enquiry is conducted as only few
and every unit of the population is studied. units ofthe population arestudied.
It requires large amount of money, time Relatively less money, time, andlabouris
Economy
and labour. required.
It is more suitable if population is heteroge- It is more suitable if population is homoge-
Suitability neous in nature.
neous in nature.
reliable and accurate Under sampling method, results are less
Reliability and Results are quite
under Census method. reliable and accurate.
Accuracy of
Nature of error
In census method, the only error that may Sampling method gives rise to error

arise in the collection of data is error of bias. sampling apart from error of bias.
Organisation and It is very difficult to organize and supervise Sampling method is comparatively easy to
organize and supervise.
census method.
Supervision

SAMPLING)
3.6 TYPES OF SAMPLING (METHODS OF methods
a sample froma population. The
various types or
There are various ways of selecting
understood from the following chart:
of sampling can be
TYPES OF SAMPLING

Non-Random Sampling9
Random Sampling

Convenience
Quota
Restricted Random Judgement Sampling
Simple Random Sampling
Sampling Sampling
Sampling

Cluster Multistage
Stratified Random Systematic Sampling
Sampling Sampling
Sampling
a known
3.7 RANDOM SAMPLING the universe has
which every item in
method refers to a method in
Random sampling
the sample
chance of being chosen for of the person making
the study.
items is independent
T h e selection of sample
Sampling8.
It is also known as 'Probability
 Statistics for Economics
3.22

discrimination in random sampling.

Random sample is a replica of the
There is no room for
to estimate the measurements
universe, and measurements of such a sample can help us

of the population.
(i) Simple
Random Sampling:
There are two methods under random sampling:

(i) Restricted Random Sampling.

TYPES OF RANDOM SAMPLING METHOD

Simple Random Sampling Restricted Random Sampling

(Every item of population has an (Random Sample is selected
equal chance of being selected) under certain restrictions)

Simple Random Sampling (Unrestricted Random Sampling)

A simple random sample is one in which every item of the population has an equal chance of

being selected
This method is known as Unrestricted Random Sampling as method of selection shall not
favour one item or another.
Under this method, the sample is selected by the following two methods:
(i) Lottery Method: This is the simplest method of selecting a random sample. Steps for
conducting Lottery Method:

First of all, all items of the population are numbered or named on

separate slips
of paper of identical size and shape.

These slips are then folded and placed in a bowl (pot or

drum) and mixed
thoroughly.
Ahlindfolded or unbiased person is asked to
select a slip from the bowl. In these
circumstances, each slip has equal probability of being drawn
This method is very popular in lottery draws conducted by DDA for allotment of h

selection of topic for a group discussion.

Table: The Lottery method becomes very inco

(ii) Use of Random Number onvenient and time
of population. In such situation
consuming in case of large size ations, random selection
can be made by
the use of random numbertables.es. Ra.
Random
of the sample
by scrambling the digits 0,1, 2. number
mbertable
table
table ofnumbers generated
is simply a
ndom
manner.

popular table of random numbers

is
Random Number Table.
Tippett's Rando.
The most
four-digited
random nbers, givin
numbers,
giving in all
This table
consists of 10,400
selected at
random.
10,400x 4
41,600 digits
 Collection of Data 3.23
isseane**ogsnnansstessenosaers.u*s********.********ace******************

Example: How to Use TIppett's Table

Suppose, we have to select 12 students out of 5,000 students in a university. Forthis purpose,
all the 5,000 students are arranged in a serial order tfrom 1 to 5,000. A page from Tippet's
table may then be consulted. From the Tippett's table, the first 24 numbers are gjiven as:
2,952 6,641 3,992 9,792 7,969 5,911

3,170 5,624 4,167 9,524 1,545 1,396

5,356 2,693 2,370 7,483
7,203 1,300
3,408 2,762 3,563 ,089 6,913 7,691
Out of the given numbers, 12 numbers which are less than 5,000 are selected.They may be
4,167 ,545 1,396
2,952 3,992 3,170
2,693 2,370 3,408 2,762 3,563
1,300

These 12 students, whose serial numbers are mentioned above, will be selected for
investigation.
than 100, each 4-digit random number is broken
However, if the units in the universe are less
into a two-digit number and then, from
these two-digit figures, samples are selected. For
out of 60 students, then we may choose serials of
example, if 6 students are to be selected
29, 52, 39, 31, 41 and 15 respectively.
Other Popular Tables of Random Numberss

1. Fisher and Yates Table: This table consists of 15,000

random digits written in the form
of 1,500 groups.
into
2. M.G.Kendall and B.B. Smith Table:This table consists of 1,00,000 digitsgrouped
25,000 set of 4-digit random numbers
million random digits consisting of
consists of one
3. Rand Corporation: This table
each.
2,00,000 random numbers of 5 digits

Merits of Simple Random Sampling

of being selected. So,
A No Personal Bias: Every item of the population has an equal chance
selection of various items in the sample
remain free from personal bias of the investigator.
Due to random character of the sample, the rules of probability are
2Based on Probability:
applicable.
of this estimate since
3 . Accuracy can be assessed: The analyst can easily assess the accuracy
in the results obtained from a
it is possible to estimate the magnitude of sampling errors
random sample.
of the Population: As the sizeof a random sample
increases,
A Increasingly Representative
of the population.
it becomes more and more representative
Demerits of Simple Random Sampling
then it may not be
1. Unsuitable for smallsampling: If the sample is not sufficiently large,
characteristics of the
and thus, may not reflect the true
representative of the population
population.
 3.24 **a*isssssane*i**.******a*sss*nasen*********
Statistics for Econormics
Difticult to prepare sampling frame: The selection of a random sample requiran
preparation ofa sampling frame, which may be difficult for a large or an intiniteppopulai e
populatio
3. Time the
Consuming: The numbering of the population units and preparation ofthesliSlips
quite time consuming and uneconomical especially when population is large.

Restricted Random Sampling

he selection of a simple random sample is appropriate when different items of the population
are homogeneous.

However, in case of heterogeneous population, simple random sample may not be a true
representative of the population.
In such cases, it becomes necessary to select a random sample under certain
Such restrictions,
samples are known as 'Restricted Random
Samples'.
Important Methods under this category are:
(a) Stratified Random Sampling
(b) Systematic Sampling
(c) Cluster Sampling
(d) Multistage Sampling
Let us now discuss the
important methods of restricted random sampling in detail.
(a) Stratified Random Sampling
In this method, the universe or the entire
population S divded into
then certain numbers of items are taken from each group at random.a( number of groups or 'Strata' and
Its basic purpose is to ensure that all the
characteristics of a
adequately represented in the sample. heterogeneous population are
It also helps in increasing the accuracy of the results of
investigation
Three Types of Stratified Random Sampling
1. Proportionate manner: Underthismanner, sample
size of the different strata
at certain percentage or ratio, or in respective proportion of the
size of the population.
size fixed
of the stratum int
the
2. Disproportionate manner: Under this manner, sample sizes of t
of the sizes different strata are
fixed arbitrarily without any regard for the sizes of the differents
3.
strata.
Optimum manner: Under this manner, size of the samples ofthe se
of the
on the principle of obtaining maximum benefits at the minimum
m cost. ditferent strata is fixed
Randomn Sampling
Merits of Stratified
YMore Representative:
Since thepopulation is first divided into
into
represen
divided various strata
every group gets
a representation in
the sample, Ore
a more

under this
representative
method
method as
as sample and then is
2Greater Precision: There is greater accuracy
extent under this
method. variability in eachobtained.
is reduced to a
considerable

stratum
Collection of Data 3.25

3Administrative convenience: It ensures administrative convenience by dividing the

population into certain homogeneous strata and sub-strata.
Greater Geographical Concentration: The units from the different strata may be selected
in such a way that all of them are localised in a particular geographical area. This helps in

reducing the time and expenses of taking interview.

Demerits of Stratificd Randonm Sampling

1. Difficult to determine size of strata: It needs proper determination of sample size of the
different strata which involves a lot of difficulties.

2. Requires utmost care:

Under thismethod,items from each stratum are selected at random.
become successful.
If care is not taken in the random selection, this method does not
widely distributed
3. More Expensive: The stratified samples are likely to be more

in the matter of collection.

geographically. So, it may prove to be more expensive
(b) Systematic Sampling
the sample is selected by taking every
Under this method, out of the complete list of available population,
h item from this list.
items is to be taken,
contains 20,000 items and a sample of 40
For exanmple, if a population
the selection of every 50th item will give the required sample.
based on the assumption that a complete
list of the population under study
This method is
is available.
results, it is necessary that the
list is arranged
In order to obtain reliable and accurate
wholly at random.

This method is also known as "Quasi-random Sampling".

Merits of Systematic Sampling
more convenientto adoptascompared
1.Simple and Convenient: Thesystematicsamplingis methods.
stratified sampling
to the random sampling or the
this method are
work involved in sampling by
2. Less Time Consuming: The time and
relatively less.
interval are not
features associated withthesampling
3. Satisfactory Results: When periodic
found to be satisfactory.
there, the results obtained are

Demerits of Systematic Sampling

The results of a systematic samplecan bevery
Biased results in c a s e of periodic
ieatures:
.
if 50th, 100th, 150th etc. persons
misleading if there is periodicity in the data. For example,
then average income, thus obtained, will be
unrealistic.
to the same income group,
belong
2. Possible only when complete list is
available: This method can be used in those cases where
is available.
from which sample is to be drawn
a
complete list of the population