What does Central Tendency mean? Read on to discover the definition & meaning of the term Central Tendency - to help you better understand the language used in insurance policies.
A statistical term denoting the single outcome within a probability distribution that is the most representative of all the possible outcomes. Probability distributions tend to cluster around a particular value, which may or may not be in the exact center of the range of values within that distribution. The three most common ways of identifying this outcome are the mean, the median, and the mode.
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