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Exercises · Q6

Q.Distinguish between a 'diagram' and a 'graph' as used in the presentation of economic data.

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✓ Free question

A diagram (bar diagram, pie diagram) is a visual device best suited to comparing values across a small number of discrete categories, or showing how a total splits into components. It does not usually require plotting on a numbered coordinate system — a bar's height or a pie sector's angle is enough.

A graph, by contrast, plots a continuous, quantitative functional relationship between two variables on a pair of numbered coordinate axes (Section 4) — a line graph for a trend over time, or an economic curve (demand, supply, cost) for how one economic variable relates to another at every possible value, not just at a few categories.

In short: diagrams answer 'how do these categories compare?'; graphs answer 'how does this variable change as that variable changes?'.

✓Final answer

A diagram (bar/pie) compares discrete categories or shows composition; a graph (line graph/economic curve) shows a continuous quantitative relationship between two variables on coordinate axes.

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