Population can be defined as a complete set of elements that share a common characteristic that is defined by the sampling criteria that is determined by a researcher.

## Overview: What is a population?

Population can be defined as a complete set of elements that share a common characteristic that is defined by the sampling criteria that is determined by a researcher.

## 3 drawbacks of populations

There are some significant drawbacks when working with populations:

### 1. Data gathering

Sometimes, gathering data on an entire population is impossible, too costly, or impractical.

### 2. Sampling issues

When sampling a population, there is significant room for error.

### 3. Variance

There can potentially be too much variance in a population to pull relevant data from.

## Why are populations important to understand?

For the following reasons, you should understand how populations work:

### Sustainability

It is important to understand populations, as it is impossible to sustain business without a stable population.

### Production and distribution

Population has a massive effect on the means of production and distribution and is therefore worth having a working understanding of.

### Sampling

Having a knowledge of populations and how they work is important if you hope to take statistically powerful samples.

## An industry example of a population

A company is considering the launch of a new product. Researchers decide to conduct a sample survey of the entire population of their customer base in order to gauge consumer interest.

## 3 best practices when thinking about populations

Here are some practices to consider when thinking about populations:

### 1. Recognize the differences between populations and samples

Population:

- Collection of all units that contain common characteristics
- Includes each element of a group
- Contains parameter as a characteristic
- Data is collected by complete enumeration
- Focus is on identification of the characteristics

Sample:

- It is a subgroup of the population
- Only includes a handful of the whole population
- Contains statistics as a characteristic
- Data is collected on it by a sample survey
- Focus is on making inferences about the population

### 2. Avoid allocating resources toward monitoring an entire population

Unless it is absolutely necessary, focus on sampling as opposed to an entire population.

### 3. Engage in routine population analysis

Engaging in routine population analysis helps you spot the need for improvement and can aid in the forecasting of trends.

## Frequently Asked Questions (FAQ) about population

### What are the two groups in a population?

The two groups in a population are the target population and the accessible population.

### What is population sampling?

It is a sampling technique that involves examining an entire or subset of a population that has a certain set of characteristics.

### What is the mean population?

It is the average of a group characteristic.

### What are the types of populations in economics?

There are four kinds of populations in economics:

- Finite population
- Infinite population
- Existent population
- Hypothetical population

## Populations and sampling

A sampling of a population can be a powerful way to decide on the direction of your company in order to best serve your customers.