Saw this mention in a previous post, and it got me thinking, what are the differences?
Maybe I already know, but u der different names, English is 2nd language.
In: 1
Take 5 numbers, like 1, 1, 3, 5, 15
If you take the mean/average, you add them up (which ist 25) and divide them by the number of numbers (which is 5) the mean is therefore 5.
If you take the median, you sort them lowest to highest and take the one in the middle, in this case 3.
Why do you need two different methods? They are good for different things. Take for example the following scenario:
Elon Musk has 225 billion dollars and moves into a city that 225 thousand people living there, all of them entirely penniless with literally not single dollar to their name. The median person is one of those penniless people and the median networth is $0. The average person has a networth of (225,000,000,000 / 255,000,000 = 1,000,000) a million dollars and is a millionaire!
Both methods tell very different stories.
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