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Economics · Ch 10 — Statistics for Economics

Diagrammatic Representation of Data — Pie Diagrams

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Diagrammatic Representation of Data — Pie Diagrams

A pie diagram (or pie chart) represents the different components of a total by the sectors of a circle, with the angle of each sector kept proportional to that component's share of the whole. Since a full circle measures 360∘360^\circ, the angle for any component is obtained as:

Sector angle=Value of the componentTotal value×360∘\text{Sector angle} = \frac{\text{Value of the component}}{\text{Total value}} \times 360^\circ

Steps to construct a pie diagram:

  1. Express each component as a proportion (or percentage) of the total.
  2. Convert each proportion into a sector angle using the formula above.
  3. Draw a circle of any convenient radius, and mark off sectors of the calculated angles using a protractor, usually starting from the 12 o'clock position and moving clockwise.
  4. Shade or label each sector, generally in decreasing order of size, for easy reading.

Illustration. Suppose a family's total monthly spending of ₹40,000 is divided as: food ₹16,000, rent ₹8,000, education ₹6,000, savings ₹6,000, and other items ₹4,000. As a share of the total, each component's angle works out as 1600040000×360∘=144∘\frac{16000}{40000}\times360^\circ = 144^\circ for food, 800040000×360∘=72∘\frac{8000}{40000}\times360^\circ = 72^\circ for rent, 600040000×360∘=54∘\frac{6000}{40000}\times360^\circ = 54^\circ each for education and savings, and 400040000×360∘=36∘\frac{4000}{40000}\times360^\circ = 36^\circ for other items. As a check, all five angles must add up to exactly 360∘360^\circ: 144+72+54+54+36=360∘144+72+54+54+36 = 360^\circ. …