In the early 20th century, Guinness breweries in Dublin had a policy of hiring the best graduates from Oxford and Cambridge to improve their industrial processes. At the time, it was considered a trade secret that they were using statistical methods to improve their process and product.
One problem they were having was that the z-test (a commonly used test at the time) required large sample sizes, and sufficient data was often unavailable. By studying the properties of small sample sizes, William Sealy Gosset developed a statistical test that required fewer samples to produce a reasonable result. As the …read more
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