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Standard deviation and variance are more popular as measures of variability since both tools capture the essence of every value in the data set, and not just the extreme values. Variability as an Indicator of RiskWhat measures are used to describe variability?
Measures Of Variability. Measures of Variability are statistics that describe the amount of difference and spread in a data set. These measures include variance, standard deviation, and standard error of the mean.Which measure of variation is most sensitive to extreme values?
The standard deviation as a measure of variation is very sensitive to extreme values. This is because, in the calculation of standard deviation, the distances between individual data points and the mean of the set are squared. This means that outliers and other extreme values will have exponential impacts on the value of standard deviation.