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CBSE Class 11 Economics Chapter 2 Notes: Collection of Data

NCERT-aligned study guide for CBSE Class 11 Economics Chapter 2 — Collection of Data (Statistics for Economics). Covers sources of data, methods of collecting primary data, questionnaire preparation, census vs sampling, random and non-random sampling methods, sampling and non-sampling errors, NSSO and CSO.

Updated 11 June 202615 min read

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Chapter Introduction

Data is the raw material of statistics. Before you can organise, present, or analyse data, you must first collect it. This chapter focuses on how data is collected — the sources it comes from, the methods used to gather it, and the critical decisions investigators must make between census and sampling approaches. Understanding data collection is essential because the quality of your statistical analysis depends entirely on the quality of the data you start with.

The chapter also introduces the important distinction between sampling and non-sampling errors, and the roles of key Indian statistical organisations (NSSO and CSO). These concepts are frequently tested in CBSE exams.


Key Definitions

TermDefinition
PopulationThe complete set of all units (individuals, items, or events) that the investigator wants to study
SampleA subset of the population selected for study
CensusMethod of collecting data from every unit in the population (complete enumeration)
SamplingMethod of collecting data from a representative subset of the population
Sampling frameA complete list of all units in the population from which a sample is drawn
QuestionnaireA set of questions designed to collect data from respondents in a structured way
ScheduleA questionnaire filled by the enumerator (not the respondent); used in personal interviews
EnumeratorA person appointed to collect data from respondents through personal interview
RespondentA person who provides data by answering the questions asked
Sampling errorThe difference between the sample result and the true population value, arising because only a part is studied
Non-sampling errorErrors that occur in both census and sampling due to factors other than sampling — response errors, non-response, processing mistakes, etc.
NSSONational Sample Survey Organisation — conducts large-scale sample surveys in India on socio-economic issues
CSOCentral Statistical Organisation — coordinates statistical activities in India and publishes national accounts

Detailed Concepts

Sources of Data

SourceDescriptionExamples
PrimaryData collected firsthand by the investigatorDoor-to-door survey, field experiment, telephone survey
SecondaryData already collected by another agencyCensus reports, RBI bulletins, NSSO surveys, published journals

The choice between primary and secondary data depends on: purpose of study, available resources (time, money, personnel), degree of accuracy required, and availability of secondary data.

Methods of Collecting Primary Data

MethodHow it worksAdvantagesDisadvantages
Personal interviewEnumerator visits respondent face-to-face and asks questionsHigh response rate; can clarify doubts; non-response is low; information is reliable; can observe body languageExpensive; time-consuming; requires trained enumerators; interviewer bias possible; limited geographical reach
Mailing questionnaireQuestionnaire sent by post/email to respondentsCheap; covers wide area; no interviewer bias; respondents have time to thinkLow response rate (often below 40%); cannot clarify doubts; only literate respondents can answer; delayed responses; no control over who fills it
Telephone interviewQuestions asked over the phone by the enumeratorQuick; moderate cost; wider reach than personal interview; can clarify doubtsLimited to phone owners; short interviews only; cannot show visual aids; response may be incomplete; call reluctance growing

Choosing the right method:

  • Small population, need for accuracy: personal interview
  • Large, literate population, limited budget: mailing questionnaire
  • Quick results, moderate accuracy: telephone interview
  • Sensitive topics requiring trust: personal interview

Preparation of Questionnaire

A good questionnaire is the backbone of primary data collection. Poorly designed questions lead to unreliable data.

Essential features of a good questionnaire:

1. Short and simple — Avoid lengthy questions; respondents lose interest 2. Clear and unambiguous — Every question must have only one interpretation 3. Logical sequence — Start with simple questions, move to complex ones 4. No leading questions — Do not suggest the answer (e.g., "Don't you think inflation is bad?") 5. No personal/sensitive questions unless absolutely necessary 6. Close-ended and open-ended balance — Use close-ended for easy tabulation, open-ended for depth 7. Pre-test (pilot study) — Test the questionnaire on a small group before the main survey 8. Covering letter — Explain the purpose and assure confidentiality 9. Instructions — Clear instructions on how to answer each question 10. Avoid double-barrelled questions — One question should ask only one thing

Difference between questionnaire and schedule:

FeatureQuestionnaireSchedule
Filled byRespondentEnumerator
CostLowerHigher (needs trained enumerator)
Response rateLowerHigher
ClarificationNot possiblePossible (enumerator explains)
Best forLiterate respondentsIlliterate or busy respondents

Census vs Sampling

FeatureCensusSampling
CoverageEvery unit of the populationOnly a subset of the population
AccuracyMore accurate (no sampling error)Less accurate (subject to sampling error)
CostVery expensiveRelatively cheap
TimeVery time-consumingQuick
SuitabilitySmall population; need for high accuracyLarge population; limited resources
OrganisationRequires large team, complex logisticsSmaller team, simpler logistics
VerificationDifficult to verify due to scaleEasier to verify results
ErrorsOnly non-sampling errorsBoth sampling and non-sampling errors
ExamplePopulation Census of IndiaNSSO surveys, exit polls, market research
Intensity of studyLimited depth (too many units)Greater depth possible (fewer units)

Methods of Sampling

Random Sampling (Probability Sampling)

Every unit in the population has an equal and known chance of being selected.

MethodHow it worksAdvantagesDisadvantages
Lottery methodWrite each unit's name on a slip, put in a box, draw randomlySimple; no biasImpractical for large populations
Random number tablesUse published tables of random numbers to select unitsScientific; suitable for large populationsRequires a sampling frame
Systematic samplingSelect every k-th unit after a random start (k = N/n)Simple; evenly spreadIf population has periodic pattern, results may be biased

Non-Random Sampling (Non-Probability Sampling)

Selection depends on the investigator's judgement or convenience; not every unit has an equal chance.

MethodHow it worksAdvantageDisadvantage
Judgement (Purposive) samplingInvestigator selects units considered most representativeUseful when specific expertise or characteristics are neededHighly subjective; prone to investigator bias
Convenience samplingSelect units that are easiest to reachQuick and cheapMay not represent the population; high bias risk
Quota samplingInvestigator selects units to match known population proportions in quotasEnsures representation of subgroupsStill non-random within each quota; interviewer bias possible

Random vs Non-Random Sampling Comparison

FeatureRandom SamplingNon-Random Sampling
Selection basisChance (equal probability)Investigator's judgement or convenience
BiasMinimal sampling biasHigh risk of selection bias
RepresentativenessMore likely to represent the populationMay not represent the population
Statistical inferenceResults can be generalised to the populationGeneralisation is unreliable
ComplexityRequires sampling frame (list of all units)No sampling frame needed
CostRelatively higherRelatively lower
ExampleLottery method, random number tablesJudgement, convenience, quota sampling

Sampling Errors and Non-Sampling Errors

FeatureSampling ErrorNon-Sampling Error
CauseStudying only a part of the populationFactors other than sampling — response, non-response, processing
Occurs inOnly samplingBoth census and sampling
Increases withSmaller sample sizePoor training, faulty design, careless work
Decreases withLarger sample sizeBetter training, good questionnaire, careful supervision
TypesOnly one typeMultiple types — response error, non-response, measurement error, processing error, bias
DetectabilityCan be estimated mathematicallyHard to detect and measure
PreventionIncrease sample size; use random samplingTrain enumerators; pre-test questionnaire; supervise fieldwork; follow up non-responses

Types of non-sampling errors in detail:

1. Response error — Respondent gives incorrect or misleading answers (intentional or unintentional). Example: under-reporting alcohol consumption. 2. Non-response error — Some selected units do not respond at all. Creates bias if non-respondents differ systematically from respondents. 3. Measurement error — Faulty instrument or method leads to wrong measurement. Example: a defective weighing scale. 4. Processing error — Mistakes in coding, tabulating, or computing data. Example: entering 100 instead of 10. 5. Sampling bias — Non-random selection introduces systematic error. Example: surveying only urban households to estimate national income. 6. Interviewer bias — The enumerator's personal views influence responses. Example: leading tone or body language that suggests a "correct" answer.

NSSO and CSO

BodyFull formRole
NSSONational Sample Survey OrganisationConducts large-scale sample surveys on employment, consumption, health, etc. Established in 1950. Surveys are conducted in "rounds" (e.g., 75th round on household consumer expenditure).
CSOCentral Statistical OrganisationCoordinates statistical activities across India; publishes national accounts data, GDP estimates, Index of Industrial Production (IIP).
MoSPIMinistry of Statistics and Programme ImplementationParent ministry overseeing both NSSO and CSO since 1999.

Choosing Between Census and Sampling

The choice depends on several factors:

FactorFavour censusFavour sampling
Population sizeSmallLarge
Resources availableAdequate budget and timeLimited budget or time
Accuracy neededVery high (e.g., defence equipment)Moderate (e.g., market research)
Nature of studyComplete enumeration requiredGeneral trends sufficient
Destruction testingNot applicable (every unit tested)When testing destroys the item (e.g., bulb testing)
Legal requirementWhen law demands (e.g., Population Census)When no legal mandate exists

Example where census is necessary: Population Census — the Constitution requires it for seat allocation and policy. Example where sampling is better: Testing bulb life — every bulb tested would leave nothing to sell.


Worked Example: Choosing the Right Method

SituationBest method of primary data collectionReason
Survey of farmer opinions in a villagePersonal interviewFarmers may be illiterate; need rapport and clarification
Survey of IT professionals' job satisfaction across IndiaMailing questionnaire (online)Literate, tech-savvy, geographically spread
Quick opinion poll before an electionTelephone interviewNeed fast results, moderate accuracy acceptable
Study of sensitive health issuesPersonal interview with trained enumeratorTrust needed; confidentiality assurance
Survey of book-reading habits of college studentsMailing or online questionnaireLiterate population, large sample, limited budget

Important Points for Exams

1. Primary data is collected firsthand by the investigator; secondary data is already available from other sources. 2. Personal interview method has the highest response rate but is the most expensive. 3. Mailing questionnaire is cheap but has a very low response rate. 4. Census covers every unit and is more accurate but very costly; sampling covers only a subset. 5. In random sampling, every unit has an equal chance of selection; in non-random sampling, it does not. 6. The lottery method and random number tables are the two main methods of random sampling. 7. Judgement, convenience, and quota sampling are non-random methods. 8. Sampling error occurs only in sampling; non-sampling errors occur in both census and sampling. 9. Increasing sample size reduces sampling error but does not affect non-sampling errors. 10. NSSO conducts sample surveys; CSO coordinates statistical activities and publishes national accounts.


Common Mistakes

MistakeWhy it is wrongCorrect approach
Saying sampling error occurs in censusSampling error is caused by studying only a part of the populationCensus studies every unit, so there is no sampling error
Confusing random and non-random methodsLottery method and random numbers are random; judgement and convenience are non-randomCheck whether every unit has an equal chance of selection
Thinking larger sample eliminates all errorsLarger sample reduces sampling error but not non-sampling errorsAddress non-sampling errors through better design and training
Believing census has no errors at allCensus has no sampling error but still has non-sampling errorsBoth methods can have non-sampling errors
Using convenience sampling and calling it representativeConvenience sampling is biased and non-randomFor representativeness, use random sampling methods
Not pre-testing the questionnairePilot study catches ambiguous or leading questions before the main surveyAlways conduct a pilot study on a small group first
Confusing questionnaire with scheduleQuestionnaire is filled by respondent; schedule is filled by enumeratorChoose based on literacy level and sensitivity of topic

NCERT Exercise Focus

Focus on these NCERT exercise questions while preparing:

1. "Distinguish between census and sampling" — Prepare a 6-8 point comparison table. Most frequently asked. 2. "Explain methods of random sampling" — Describe lottery method and random number tables with examples. 3. "What are sampling and non-sampling errors?" — Distinguish clearly; emphasise that sampling error occurs only in sampling. 4. "What are the features of a good questionnaire?" — List at least 6 features with reasons. 5. "Distinguish between questionnaire and schedule" — Prepare a comparison table.

Exam Tips

1. Census vs Sampling comparison — This is the most frequently asked distinction question. Prepare a table with at least 6 points of difference. 2. "Explain the methods of random sampling" — Describe lottery method and random number tables with examples. A typical 3-mark question. 3. Sampling vs non-sampling errors — Very common 3-5 mark question. Emphasise: sampling error occurs only in sampling, non-sampling error occurs in both. 4. Questionnaire design — List 5-6 features of a good questionnaire. Use keywords: short, clear, logical sequence, no leading questions, pre-test. 5. Methods of primary data collection — Compare all three methods (personal interview, mailing, telephone) with advantages and disadvantages. 6. For 1-mark questions — Know exact definitions: sample, census, sampling error, NSSO, CSO. 7. Real-world examples score marks — Mention NSSO rounds, Population Census, exit polls as examples. 8. Questionnaire vs Schedule — Know the difference; it has appeared in previous years' papers.


Practice Questions for Self-Test

1. Distinguish between census and sampling methods of data collection. (3 marks) 2. What are the methods of random sampling? Explain any two with examples. (3 marks) 3. Differentiate between sampling error and non-sampling error. (3 marks) 4. What are the features of a good questionnaire? List any five. (3 marks) 5. Compare personal interview, mailing questionnaire, and telephone interview as methods of data collection. (5 marks) 6. What is the difference between questionnaire and schedule? (2 marks) 7. What are non-sampling errors? Explain any three types. (3 marks) 8. What is the role of NSSO and CSO in India? (2 marks) 9. "Larger sample size reduces sampling error but not non-sampling error." Explain. (3 marks) 10. What is convenience sampling? Why is it considered unreliable? (2 marks)

Key Statistics and Facts for Quick Reference

FactDetail
Census examplePopulation Census of India
Sampling exampleNSSO surveys, exit polls
Best response rate methodPersonal interview
Cheapest methodMailing questionnaire
Quick methodTelephone interview
Random sampling methodsLottery, Random number tables, Systematic
Non-random methodsJudgement, Convenience, Quota
NSSO established1950
MoSPI overseesBoth NSSO and CSO
Error that decreases with larger sampleSampling error
Error in both census and samplingNon-sampling error

Quick Revision Notes

  • Primary data: collected firsthand; Secondary data: already available.
  • Three methods of primary data: personal interview (best response, most expensive), mailing (cheapest, lowest response), telephone (moderate).
  • Good questionnaire: short, clear, logical order, no leading questions, pre-tested, covering letter.
  • Questionnaire: filled by respondent. Schedule: filled by enumerator.
  • Census: every unit, accurate, expensive, time-consuming. Sampling: subset, less accurate, cheap, quick.
  • Random sampling: equal chance — lottery, random number tables, systematic.
  • Non-random sampling: judgement, convenience, quota — faster but biased.
  • Sampling error: only in sampling, decreases with larger sample.
  • Non-sampling error: in both census and sampling — response, non-response, measurement, processing errors.
  • NSSO: conducts sample surveys. CSO: coordinates statistics, publishes national accounts.
  • Both NSSO and CSO come under MoSPI.

Frequently Asked Questions

In census (complete enumeration), every unit of the population is surveyed. In sampling, only a representative subset is studied. Census is more accurate but expensive and time-consuming; sampling is cheaper and faster but subject to sampling error.