Z-Scores and Standardization
Master z-scores to compare values across different distributions. Learn standardization, the empirical rule, and how to use z-tables.
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The Problem: Comparing Apples and Oranges
How do you compare performance across different scales?
Which is more impressive?
- Scoring 720 on the SAT Math section
- Scoring 28 on the ACT Math section
These tests have different scales, different means, and different standard deviations. Raw scores can’t be compared directly!
The solution: Standardize both scores using z-scores.
What is a Z-Score?
A z-score (standard score) tells you how many standard deviations a value is from the mean.
Where:
- = individual value
- = population mean
- = population standard deviation
For sample data:
Interpreting Z-Scores
| Z-Score | Interpretation |
|---|---|
| z = 0 | Exactly at the mean |
| z = 1 | One standard deviation above the mean |
| z = -1 | One standard deviation below the mean |
| z = 2 | Two standard deviations above (unusual) |
| z = -2 | Two standard deviations below (unusual) |
| z > 3 or z < -3 | Very unusual (potential outlier) |
Exam scores have mean and standard deviation .
What is the z-score for a student who scored 91?
Interpretation: This student scored 2 standard deviations above the mean—an excellent performance!
Comparing Different Distributions
Z-scores allow fair comparisons across any distributions with known means and standard deviations.
SAT Math: Mean = 500, SD = 100 ACT Math: Mean = 20, SD = 5
Student A: SAT Math = 720
Student B: ACT Math = 28
Conclusion: Student A performed relatively better (2.2 standard deviations above mean vs. 1.6).
Properties of Z-Scores
When you convert an entire dataset to z-scores:
- Mean of z-scores = 0
- Standard deviation of z-scores = 1
- Shape of distribution is unchanged
- Relative positions are preserved
Original data: 60, 70, 80, 90, 100 (mean = 80, SD = 14.14)
Z-scores:
- 60:
- 70:
- 80:
- 90:
- 100:
Verify: Mean of z-scores = 0, SD of z-scores = 1 ✓
The Standard Normal Distribution
When data is normally distributed and we convert to z-scores, we get the standard normal distribution:
- Mean = 0
- Standard deviation = 1
- Denoted as or
If , then
The Empirical Rule (68-95-99.7 Rule)
For normal distributions, z-scores have predictable percentages:
- 68% of data falls within (within 1 SD of mean)
- 95% of data falls within (within 2 SD of mean)
- 99.7% of data falls within (within 3 SD of mean)
Adult male heights: Mean = 70 inches, SD = 3 inches
Within 1 SD (z between -1 and 1):
- Range: 70 ± 3 = 67 to 73 inches
- Contains: 68% of men
Within 2 SD (z between -2 and 2):
- Range: 70 ± 6 = 64 to 76 inches
- Contains: 95% of men
Within 3 SD (z between -3 and 3):
- Range: 70 ± 9 = 61 to 79 inches
- Contains: 99.7% of men
Only 0.3% of men are shorter than 61” or taller than 79”!
Finding Probabilities with Z-Scores
For normal distributions, z-scores let us find probabilities using z-tables or calculators.
Using a Z-Table
A z-table shows the area (probability) to the left of any z-score.
What percentage of values fall below z = 1.5?
From z-table: P(Z < 1.5) = 0.9332 or 93.32%
Interpretation: 93.32% of values in a standard normal distribution are below z = 1.5.
Common Z-Table Values
| Z-Score | Area to Left | Area to Right |
|---|---|---|
| -2.00 | 0.0228 | 0.9772 |
| -1.96 | 0.0250 | 0.9750 |
| -1.00 | 0.1587 | 0.8413 |
| 0.00 | 0.5000 | 0.5000 |
| 1.00 | 0.8413 | 0.1587 |
| 1.96 | 0.9750 | 0.0250 |
| 2.00 | 0.9772 | 0.0228 |
Types of Probability Questions
Given a normal distribution with and :
Type 1: P(X < value) — “less than” P(X < 115)?
- P(Z < 1.0) = 0.8413 (from table)
Type 2: P(X > value) — “greater than” P(X > 115)?
- Use complement: P(X > 115) = 1 - P(X < 115)
- = 1 - 0.8413 = 0.1587
Type 3: P(a < X < b) — “between” P(90 < X < 115)?
- → P(Z < -0.67) = 0.2514
- → P(Z < 1.0) = 0.8413
- P(90 < X < 115) = 0.8413 - 0.2514 = 0.5899
Finding Values from Percentiles
You can also work backwards: given a percentile, find the corresponding value.
IQ scores: ,
What IQ score is at the 90th percentile?
Step 1: Find z-score for 90th percentile
- From z-table: z = 1.28 (area = 0.90)
Step 2: Convert z back to x
An IQ of 119 is at the 90th percentile.
Z-Scores as Outlier Detection
Z-scores provide another method for identifying outliers:
| Z-Score Range | Interpretation |
|---|---|
| $ | z |
| $2 \leq | z |
| $ | z |
Class exam: Mean = 78, SD = 10
Student scores: 95, 82, 71, 45, 88
Z-scores:
- 95: z = (95-78)/10 = 1.7 (typical)
- 82: z = (82-78)/10 = 0.4 (typical)
- 71: z = (71-78)/10 = -0.7 (typical)
- 45: z = (45-78)/10 = -3.3 (outlier!)
- 88: z = (88-78)/10 = 1.0 (typical)
The score of 45 is more than 3 standard deviations below the mean—investigate this student’s situation.
Applications of Z-Scores
1. Quality Control
Manufacturing processes monitor z-scores to detect when production goes “out of control.”
2. Academic Testing
SAT, GRE, IQ tests all report standardized scores based on z-scores.
3. Financial Analysis
Beta values in finance are essentially z-scores measuring stock volatility relative to the market.
4. Medical Diagnostics
Lab results are often reported with reference to population z-scores.
A patient’s cholesterol is 245 mg/dL. Population: Mean = 200 mg/dL, SD = 25 mg/dL
The patient is 1.8 standard deviations above average—elevated but not extremely unusual. About 3.6% of the population has higher cholesterol (P(Z > 1.8) ≈ 0.036).
Comparing Z-Score and Percentile Methods
| Aspect | Z-Score | Percentile |
|---|---|---|
| Scale | SD units from mean | Percentage of data below |
| Requires | Mean and SD | Sorted data |
| Assumes normality | For probability calcs | No |
| Negative values | Yes (below mean) | Never |
| Typical range | -3 to +3 | 1 to 99 |
Summary
In this lesson, you learned:
- Z-scores measure distance from mean in standard deviation units:
- Z-scores allow comparison across different distributions
- Standardized data has mean = 0 and SD = 1
- The empirical rule (68-95-99.7) applies to normal distributions
- Z-tables convert z-scores to probabilities and vice versa
- Z-scores of |z| > 2 indicate unusual values; |z| > 3 suggests outliers
- Converting back:
Practice Problems
1. Exam scores have mean 72 and SD 9. Calculate the z-score for: a) A score of 81 b) A score of 63 c) A score of 72
2. Heights of women have mean 64 inches and SD 2.5 inches. Using the empirical rule: a) What range contains 68% of women’s heights? b) What percentage of women are taller than 69 inches?
3. GRE Verbal: Mean = 150, SD = 8. GRE Quant: Mean = 153, SD = 9. A student scores 162 on Verbal and 171 on Quant. On which section did they perform relatively better?
4. If z = 1.65, and the distribution has mean 50 and SD 10, what is the raw score?
Click to see answers
1. a) z = (81-72)/9 = 1.0 b) z = (63-72)/9 = -1.0 c) z = (72-72)/9 = 0
2. a) 64 ± 2.5 = 61.5 to 66.5 inches b) 69 inches is at z = (69-64)/2.5 = 2.0
- 95% within ±2 SD means 2.5% above z = 2
- About 2.5% are taller than 69 inches
3.
- Verbal: z = (162-150)/8 = 1.5
- Quant: z = (171-153)/9 = 2.0
- Quant performance was relatively better (z = 2.0 vs z = 1.5)
4. x = μ + z·σ = 50 + 1.65(10) = 66.5
Next Steps
Now that you understand z-scores:
- Normal Distribution - The bell curve in depth
- Sampling Distributions - Z-scores for sample means
- Z-Score Calculator - Practice calculations
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