What is often a characteristic of an outlier?

Prepare for UofT's PSY201 Statistics I Midterm. Study with detailed flashcards and multiple choice questions, each complete with hints and explanations. Ace your exam!

The characteristic of an outlier that is often emphasized is its potential to skew analysis results. Outliers are data points that differ significantly from the rest of the data in a dataset. Because they lie far away from the other values, they can have a disproportionate influence on statistical measures, such as the mean and standard deviation. This skewing can lead to misleading interpretations and conclusions if not addressed appropriately.

In analyses such as regression or correlation, the presence of outliers can affect the slope of the line or the correlation coefficient, potentially leading researchers to incorrect assumptions about the relationships between variables. It is crucial for analysts to identify and consider outliers in their datasets as they may hold important information or may need to be excluded to provide a clearer view of the data’s underlying trends.

This understanding highlights the importance of recognizing how outliers can impact statistical results—making the third choice the most accurate in describing a common characteristic of outliers.

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