Statistical modeling theory

5. (a) Write down two reasons for using statistical models.
(b) Give an example of a random variable that could be modelled by

1. a normal distribution,
2. a discrete uniform distribution.

1. (a) Give two reasons to justify the use of statistical models.

It has been suggested that there are 7 stages involved in creating a statistical model. They are summarised below, with stages 3 , 4 and 7 missing. Stage 1. The recognition of a real-world problem. Stage 2. A statistical model is devised. Stage 3. Stage 4. Stage 5. Comparisons are made against the devised model. Stage 6. Statistical concepts are used to test how well the model describes the real-world problem. Stage 7.
(b) Write down the missing stages.

2. Statistical models can be used to describe real world problems. Explain the process involved in the formulation of a statistical model.
(4)