lecture 16b pre logic

Question 1

What is the best way to predict how much people in
Canada earn?

Answer 1

use average income
In the 2021 Census, the median earned income of
Canadians and permanent residents between the ages
of 25 and 54 was $49,600 - will give the smallest amount of error but there will still be error

Question 2

Using average income leads to a lot of error

Answer 2

There were about 14 millions Canadians and
permanent residents between the ages of 25 and 54
in 2021.
 Using $49,600 to guess people’s incomes 14 million
times would produce a certain amount of error.

Question 3

How could we reduce the error of prediction?

Answer 3

Are there socio-demographic variables that we could
use to more accurately predict people’s income?
Level of education
 Sex
 Racialized status / Indigenous status
 Immigration status