Nominal variables: Those qualitative variables whose
values or states have no order or rank are called nominal
variables. It is only possible to distinguish equality or
inequality between two such objects. For example, "marital
status" has states of married, single, divorced, or widowed.
These states have no numerical significance, and no particular
order or rank. The states could be assigned numerical codes
however, such as married = 1, single = 2, divorced = 3, and
widowed = 4.
Ordinal variables: Those qualitative variables whose
states can be arranged in a rank order, but the difference
between two distinct values has no significance are ordinal
variables. Ordinal variables may also be assigned numerical
values. For example, the states very tall, tall, medium, short,
and very short can be arranged in order from tallest to shortest
and be assigned an arbitrary scale of 5 to 1. However, the
difference between successive values does not necessarily
have any quantitative meaning.
Binary variable. These variables may assume only one
of two values, such as 0 or 1, good or bad, yes or no, high
or low.
Interval (metric) variables. These variables take
on numeric values and for which equal differences between
values have the same significance. For example, real numbers
corresponding to temperature or integers corresponding to
an amount of money are considered as interval variables.
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