Do you have missing data in the dataset? … don’t ignore them.
Missing data is a common issue in statistical analysis, and it can cause bias or inaccurate results. In these posts, we will explore various types of missing data mechanisms to understand how to identify them and address the issue.
Let’s start with the concept of missing completely at random (MCAR).
Suppose you’re conducting a survey about people’s income and education level. You collect data from a random sample of individuals, but some respondents leave certain fields blank. In an MCAR scenario, the missing data is not related to the respondents’ income or education level or any other factor. For instance, consider a situation where you have collected the following data:
| Respondent | Income | Education_Level |
|---|---|---|
| 1 | 50000 | Bachelor’s |
| 2 | 75000 | Master’s |
| 3 | NA | High School |
| 4 | 60000 | Doctorate |
| 5 | 42000 | NA |
| 6 | NA | Master’s |
The missing data points (e.g., Respondent 3’s income and Respondent 5’s education level) are seemingly random and don’t show any particular pattern. The missing data points occur regardless of the income or education level, demonstrating that the data is missing completely at random (MCAR).