What is Inferential Statistics?

Inferential statistics is a branch of statistics that involves drawing conclusions or making predictions about a larger population based on data from a smaller sample. It uses methods such as hypothesis testing, confidence intervals, regression analysis, and probability models to estimate parameters, test assumptions, and identify meaningful relationships.

By leveraging inferential statistics, businesses and researchers can make data-driven decisions without the need to analyze entire populations, saving time and resources. This enables accurate generalizations, better risk management, strategic planning, and informed decision-making processes across various fields, from market research and finance to healthcare and social sciences.