Benford's Law - anyone have their own examples?

  1. http://en.wikipedia.org/wiki/Benford's_law

    Anyone here have their own examples? I found it applies to the tonnage of steel beam produced where I am working.30% of the time the weight started with a one.
     
  2. jcsd
  3. It's important to understand why Benford's works (because there are many causes where false positives and false negatives can occur). Basically you have to have a random process generating the numbers.

    A simply accounting example that doesn't pass Benford yet is perfectly legitimate is an ensemble of cash flows resulting from a fixed contractual amount. It's also quite easy to fake a Benford distribution.
     
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