The normal distribution is continuous It is the most important distribution in probability theory because it describes many natural phenomena, such as people’s IQs or heights and the reproductive rates of animals. Decision-makers can use the normal distribution to describe uncertain variables such as the inflation rate or the future price of gasoline.
Of the values of a normal distribution, approximately 68% are within 1 standard deviation on either side of the mean. The standard deviation is the square root of the average squared distance of values from the mean. |