The problem with relying on a point estimate of a population parameter is that:
A)it has no variance.
B)it might be unbiased.
C)it might not be relatively efficient.
D)it does not tell us how close or far the point estimate might be from the parameter.

Question

Quizplus · Accepted Answer

A point estimate gives us only a single value as an estimate of the population parameter, and does not provide any indication of how close or far it might be from the true value. This lack of information makes it difficult to assess the accuracy of the estimate, as well as its potential variability or sensitivity to sampling error. Therefore, it is important to supplement point estimates with some measure of uncertainty or variability, such as a confidence interval or a standard error.

The Problem with Relying on a Point Estimate of a Population