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Population Parameter Definition and Quiz

This off-putting statistical term is simply what you're trying to make an educated guess about.
  1. Define - Define the term Population Parameter in statistics.
  2. Context - Use Population Paramter in a sentence.
  3. Quiz - Test yourself.
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Updated: February 18, 2021
Once we decide we're evaluating a population, we need to identify what we're measuring. Learn more below.

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Understanding the Population Parameter for Statistics


Population Parameter is a statistical term referring to the descriptive measure about a population that is being studied. Examples for stocks may include: median sales, standard deviation of net income per share or the mean debt-to-equity ratio. The population parameter is to a population as a sample statistic is to a sample.

Synonym: statistical parameter

For context, and as an example, the percentage of voters who select a candidate in the voting population can be sampled in polls to get an idea for candidates leading the polls prior to an election.

Here the population paramter is the percent of the voting population selecting a specific candidate. Rather than collecting survey from millions of voters in some cases, a sample statistic, or average for a smaller sample often provides enough information to make an assertion about the population, with some level of estimation error.

In a Sentence

Bud:  How is the population parameter defined? Which measure? What timeframe?
Pam:  Have you been hanging out with Guy lately?


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Population parameters in economics are generally know with certainty. | True or False?


The average GPA for all students in a college over a semester is an example of a population parameter. | True or False?


Questions or Comments?

Still unclear on the concept of a Population Parameter? Check out the Quant 101 Series of free financial modeling tutorials.

Related Terms

Our trained humans found other terms in the category statistical distributions you may find helpful.

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/ factorpad.com / fin / glossary / population-parameter.html

population parameter
population statistic
population estimation
characteristic about a population
sampling distribution
stocks population
statistical parameter
finance distribution
investment population parameter
investment modeling
population characteristic
investment population
fund population
investment sampling

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