Question 1104296: Is the mean always the best measure of central tendency to use. True or false and why?
Answer by jim_thompson5910(35256) (Show Source):
You can put this solution on YOUR website!
It is not a good measure of central tendency if you have outliers. The outliers will pull on the mean to make it larger or smaller (depending on if the outlier is too big or too small compared to the rest of the group).
For example, with home prices, you might have 100 homes worth $50,000 while there are a few that are over 1 million dollars. The outliers (the ones priced over 1 million dollars) will pull up on the mean to make it larger than it should be. This is why the median is used for home prices
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