Section 3
The Law of Averages
Book
Version 1
By Boundless
By Boundless
Boundless Statistics
Statistics
by Boundless
4 concepts
![Thumbnail](../../../../../../figures.boundless-cdn.com/17785/raw/largenumbers.jpg)
What Does the Law of Averages Say?
The law of averages is a lay term used to express a belief that outcomes of a random event will "even out" within a small sample.
![Thumbnail](../../../../../../figures.boundless-cdn.com/17993/raw/random-walk-example.jpg)
Chance Processes
A stochastic process is a collection of random variables that is often used to represent the evolution of some random value over time.
![Thumbnail](../../../../../../figures.boundless-cdn.com/18085/square/8480394254-572a4dec25-z.jpeg)
The Sum of Draws
The sum of draws is the process of drawing randomly, with replacement, from a set of data and adding up the results.
![Thumbnail](../../../../../../figures.boundless-cdn.com/17898/raw/michelsonmorley-boxplot.jpg)
Making a Box Model
A box plot (also called a box-and-whisker diagram) is a simple visual representation of key features of a univariate sample.