Question

Which average -- the mode, median, or mean -- probably serves as the basis for the following statement? As of March 2009, the average American's share of the national debt equals approximately $35,000.

a) mode
b) median
c) mean
d) impossible to determine on the basis of available information

Answer 1

The correct answer is option c) mean, which is used to determine the average American's share of national debt by dividing the total debt by the population size.

Step-by-step explanation:

The statement refers to the average American’s share of the national debt, which is most likely calculated using the mean, or average. To determine this, the total national debt is divided by the total population. This is representative of the mean because it sums all individual amounts (in this case, debt per American) and divides by the number of individuals.

The mean is sensitive to extreme values, unlike the median or mode. For instance, if there are a few extremely high debts or a few very low ones, they will affect the mean significantly, while the median would better represent the “central” share, if the distribution of debt is not uniform. The mode is the least likely here, as it represents the most frequently occurring debt value among Americans, which isn't relevant to the context of the national debt divided equally.