Systematic Sampling

AAA

DEFINITION of 'Systematic Sampling'

A type of probability sampling method in which sample members from a larger population are selected according to a random starting point and a fixed, periodic interval. This interval, called the sampling interval, is calculated by dividing the population size by the desired sample size. Despite the sample population being selected in advance, systematic sampling is still thought of as being random, provided the periodic interval is determined beforehand and the starting point is random.

INVESTOPEDIA EXPLAINS 'Systematic Sampling'

Because simply random sampling can be inefficient and time-consuming, statisticians turn to other methods, such as systematic sampling. Choosing a sample size through a systematic approach can be done quickly. For example, if you wanted to select a random group of 1,000 people from a population of 50,000 using systematic sampling, you would simply select every 50th person, since 50,000/1,000 = 50.

One risk that statisticians must take into account when conducting systematic sampling involves how the list used with the sampling interval is organized. If the population placed on the list is organized in a cyclical pattern that matches the sampling interval, the selected sample may be biased. For example, a company’s human resources department wants to pick a sample of employees and ask how they feel about company policies. Employees are grouped in teams of 20, with each team headed by a manager. If the list used to pick the sample size is organized with teams clustered together, the statistician risks picking only managers (or no managers at all) depending on the sampling interval.

RELATED TERMS
  1. Variance

    The spread between numbers in a data set, measuring Variance ...
  2. Durbin Watson Statistic

    A number that tests for autocorrelation in the residuals from ...
  3. Simple Random Sample

    A subset of a statistical population in which each member of ...
  4. Attribute Sampling

    A mathematical process used to analyze the characteristics of ...
  5. Mean

    The simple mathematical average of a set of two or more numbers. ...
  6. Distribution

    1. When trading volume is higher than that of the previous day ...
Related Articles
  1. Using Historical Volatility To Gauge ...
    Markets

    Using Historical Volatility To Gauge ...

  2. How To Calculate Your Investment Return
    Fundamental Analysis

    How To Calculate Your Investment Return

  3. Breaking Down The Geometric Mean
    Investing Basics

    Breaking Down The Geometric Mean

  4. Calculating Covariance For Stocks
    Fundamental Analysis

    Calculating Covariance For Stocks

comments powered by Disqus
Hot Definitions
  1. Ghosting

    An illegal practice whereby two or more market makers collectively attempt to influence and change the price of a stock. ...
  2. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  3. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  4. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  5. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
  6. Gresham's Law

    A monetary principle stating that "bad money drives out good." In currency valuation, Gresham's Law states that if a new ...
Trading Center