American Institute of Certified Planners (AICP) Practice Exam

Which measure of central tendency can be used for nominal data?

1. Mean

2. Median

3. Mode

4. Range

The correct answer is: Mode

The mode is the measure of central tendency that is appropriate for nominal data. Nominal data is categorical in nature and does not have a meaningful order or ranking. It consists of distinct categories that cannot be quantified or arranged hierarchically. The mode represents the most frequently occurring category within that dataset, making it suitable for nominal data analysis. For instance, if you are analyzing survey responses about preferred colors, the mode would identify which color was mentioned most often, providing insight into the most popular preference among the respondents. Other measures of central tendency, such as the mean and the median, require an ordered dataset with numerical values, which is not applicable to nominal data. The range, while a useful measure of variability, also requires numerical data and does not apply to categorical data. Thus, the mode effectively conveys the most common category when dealing with nominal data.