Outliers
An outlier is a value that lies far from the rest of the data. There are two standard tests for spotting them — a quartile-based rule and a mean/standard-deviation rule — and a clear procedure for deciding what to do with them.
What you'll be able to do
- Define an outlier
- Use the 1.5 × IQR rule
- Use the mean ± 2 standard deviations rule
- Decide whether to keep or clean an outlier
The quartile (IQR) rule
A common rule flags a value as an outlier if it is more than below or above . The multiplier is sometimes given as a different number in a question — always use the one stated.
The mean/standard-deviation rule
An alternative rule flags values more than standard deviations from the mean — outside . Use whichever rule the question specifies.
Cleaning data
Once identified, an outlier may be a genuine value or an error. means removing values that are clearly errors. Never remove a value just because it is extreme — only if there is a reason to believe it is wrong.
Tip — Extreme ≠ wrong. Only remove an outlier if there’s justification that it’s an error.
Formula recap
Common mistakes to avoid
Key takeaways
- Quartile rule: outside Q₁ − 1.5·IQR or Q₃ + 1.5·IQR.
- Mean/SD rule: outside x̄ ± 2σ.
- Clean (remove) only outliers that are clearly errors.
Test yourself
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