PARAMETRIC VERSUS NONPARAMETRIC

STATISTICS
● Statistics that are used to estimate population parameters are called
parametric statistics.
● The validity of parametric tests is dependent on certain assumptions about the
nature of data.
● The primary assumption is that samples are randomly drawn from parent
populations with normal distributions.
○ Therefore, the sample should be a useful representation of
population "parameters."
○ Tests of "goodness of fit" can be performed to determine how well
data match the normal distribution.
● A second assumption is that variances in the samples being compared are

roughly equal, or homogeneous.

○ A test for homogeneity of variance can substantiate this assumption.

● A third assumption is that data are measured on the interval or ratio scales.

○ Therefore, scores can be subjected to arithmetic manipulations to

calculate means and standard deviations

● When statistical conditions do not meet these requirements, nonparametric
tests can be used.
● Nonparametric tests make fewer assumptions about population data, and can
be used when normality and homogeneity of variance criteria are not
satisfied.
● They can be used effectively, therefore, with very small samples.

● In addition, they have been specifically developed to operate on data at the

nominal and ordinal scales.
● Alternatively, data can be transformed to another scale of measurement, such
as a logarithmic scale, to create distributions that more closely satisfy the
necessary assumptions for parametric tests
● Statisticians do not agree on absolute rules for using parametric or
nonparametric procedures.
● The classical school insists that if all the assumptions behind
parametric tests are not met, nonparametric tests should be used;
● however, parametric tests are generally considered robust enough to
withstand even major violations of these assumptions without seriously
affecting the validity of statistical outcomes, including their use with
ordinal data.
● Many researchers prefer to use parametric procedures because they
are generally considered more powerful.
● We take a moderate position and suggest that nonparametric tests are most useful
when ordinal or nominal data are collected and when samples are small, and
normality cannot be assumed.

● When their application is justified, parametric tests are preferred because they are
more powerful and more versatile with complex research designs.

● An algorithm for choosing parametric and nonparametric statistical tests for given
research designs can be found in Appendix B.
Parametric And Non Parametric Test