Quantitative Methods#

Statistical tools used to model data, test hypotheses, and quantify uncertainty when evaluating agentic systems.


Cohen’s kappa coefficient#

Definition: statistical measure of inter-rater agreement for categorical items; quantifies the level of agreement between two raters while accounting for chance agreement

Purpose: verifies that a codebook is applied consistently across raters, supporting the reliability of qualitative coding

Related Terms: codebook, qualitative research


confidence interval#

Definition: range of values likely to contain the true effect size, given the statistical model’s assumptions; commonly reported as a 95% confidence interval - if computed repeatedly under valid conditions, 95% of such intervals will contain the true value

Purpose: width indicates the precision of an estimate, with narrower intervals signaling more precise estimates; not to be confused with a “95% probability the true value is in this range” for any single interval

Related Terms: null hypothesis, P value, statistical inference


model checking#

Definition: process of evaluating whether statistical model assumptions are satisfied by the data; includes diagnostic tests for fit, examining residuals, and testing additional model terms

Purpose: identifies violations that could invalidate statistical inferences; itself relies on further assumptions that become part of the full model

Related Terms: statistical inference, statistical model


non-parametric methods#

Definition: statistical techniques that make fewer assumptions about data distribution than parametric methods; don’t assume data follows a specific distribution, such as a normal distribution

Purpose: somewhat misleadingly named, since these methods are not assumption-free; still require assumptions such as random sampling or randomization

Related Terms: statistical inference, statistical model


null hypothesis#

Definition: premise proposing zero effect or no relationship between variables; serves as a baseline for testing

Purpose: tested to determine if observed data are unusual enough to reject the hypothesis; failure to reject doesn’t prove the null is true, only that the data are compatible with it

Example: a treatment makes no difference in average outcome compared to control

Related Terms: confidence interval, one-sided hypothesis, P value, power


OLS regression#

Definition: acronym for Ordinary Least Squares regression; statistical method that estimates relationships between variables by minimizing squared differences to find the best-fitting line through data points

Purpose: used in AI testing to build simple prediction models based on historical data

Related Terms: prediction model, statistical model


one-sided hypothesis#

Definition: also known as a dividing hypothesis; test premise about whether an effect is greater than or less than a specific value

Purpose: differs from two-sided tests that check whether an effect differs in either direction

Example: testing whether a new treatment is at least as good as the standard treatment

Related Terms: null hypothesis, P value


power#

Definition: probability that a statistical test will reject the test hypothesis when a specific alternative is correct; calculated before a study to determine adequate sample size

Purpose: studies are typically designed for 80% power, meaning the test will detect a true effect 80% of the time; doesn’t measure compatibility of the alternative hypothesis with observed data and shouldn’t be used to interpret results after data collection

Related Terms: null hypothesis, P value


prediction model#

Definition: algorithm or statistical model that forecasts outcomes based on input data; learns patterns from training data to make predictions about new cases

Purpose: ranges from basic regression models to complex neural networks; accuracy depends on data quality, feature selection, and algorithm sophistication

Related Terms: OLS regression, statistical model


probability#

Definition: in frequentist statistics, refers to hypothetical frequencies of data patterns under an assumed model, measured over many repetitions of the same procedure under identical conditions

Purpose: often confused with the probability of a hypothesis being true or false, leading to common statistical misinterpretations; doesn’t refer to the probability of hypotheses being true or false

Related Terms: P value, statistical inference


P value#

Definition: probability that observed data, or more extreme, would occur if all model assumptions - including the test hypothesis - were correct; ranges from 0, complete incompatibility, to 1, perfect compatibility

Purpose: measures fit between the data and the entire statistical model, not just the hypothesis being tested; commonly misinterpreted as the probability that the hypothesis is true or false, and often degraded into a “significant” (P ≤ 0.05) vs “insignificant” dichotomy

Related Terms: confidence interval, null hypothesis, probability, statistical model


scalar#

Definition: mathematical concept, specifically from linear algebra; element of a field which is used to define a vector space through the operation of scalar multiplication

Purpose: a “scalar value” refers to a single numerical quantity that has magnitude but no direction, distinguishing it from vector-valued quantities

Related Terms: statistical model


statistical inference#

Definition: process of drawing conclusions about populations or processes from sample data; includes hypothesis testing, confidence interval estimation, and parameter estimation

Purpose: foundational methodology for evaluating whether observed results are meaningful or due to chance; accounts for uncertainty and random variation when making generalizations

Related Terms: confidence interval, null hypothesis, statistical model, uncertainty quantification


statistical model#

Definition: mathematical representation of data variability and all assumptions used to compute statistics; embodies a full web of assumptions beyond just equations with parameters, including data collection, randomization, treatment allocation, and analysis choices

Purpose: violation of any assumption, not just the test hypothesis, can produce misleading P values; often presented in compressed form, with many assumptions left unstated or unrecognized

Related Terms: model checking, non-parametric methods, P value, statistical inference


stochastic#

Definition: random probability distribution or pattern that may be analyzed statistically, but may not be predicted precisely

Purpose: commonly used in mathematics, science, and information theory to describe processes governed by randomness

Related Terms: probability, uncertainty quantification


uncertainty quantification#

Definition: process of measuring and characterizing uncertainty in predictions, decisions, or model outputs; distinguishes between aleatoric uncertainty - inherent randomness - and epistemic uncertainty - lack of knowledge

Purpose: enables AI systems to express confidence levels and identify when additional data or validation is needed; critical for safe deployment in high-stakes domains like healthcare, autonomous systems, and decision support

Example: common methods include Bayesian inference, ensemble approaches, and Monte Carlo techniques

Related Terms: prediction model, statistical inference, stochastic