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Harmonic mean
It is a measure of central tendency which is utilized to determine the average increase rates for natural economies. This is defined like the reciprocal of the average of the reciprocals of every the values given by HM.
Illustration
The economic growth rates of five countries were given as 20 percent, 15 percent, 25 percent, 18 percent and 5 percent.Calculate the harmonic mean as:
= 1/{0.2{0.05 +0.07 +0.04 +0.10 +0.2}}
= 1/0.092
= 10.86 percent
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FORMULAS DERIVATION
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