Week 14 Trimmed and Winsorized Mean

Trimmed  Mean:

  • When outliers are present in the data , trimming and Winsorization are methods for reducing the effects of extreme values in the sample.
  • A trimmed mean (similar to an adjusted mean) is a method of averaging that removes a small designated percentage of the largest and smallest values before calculating the mean.

 Winsorized Mean:

  • Winsorization began as a way to "robustify" the sample mean, which is sensitive to extreme values.
  • To obtain the Winsorized mean, you sort the data and replace the smallest k values by the (k +1) smallest value.
  • You do the same for the largest values, replacing the k largest values with the (k+1) largest value.

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trimmed-and-wizard-mean.pptx (0.12 MB )