Percentage point
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A percentage point or percent point is the unit for the arithmetic difference between two
percentage In mathematics, a percentage () is a number or ratio expressed as a fraction (mathematics), fraction of 100. It is often Denotation, denoted using the ''percent sign'' (%), although the abbreviations ''pct.'', ''pct'', and sometimes ''pc'' are ...
s. For example, moving up from 40 percent to 44 percent is an increase of 4 percentage points (although it is a 10-percent increase in the quantity being measured, if the total amount remains the same). In written text, the unit (the percentage point) is usually either written out, or abbreviated as ''pp'', ''p.p.'', or ''%pt.'' to avoid confusion with percentage increase or decrease in the actual quantity. After the first occurrence, some writers abbreviate by using just "point" or "points".


Differences between percentages and percentage points

Consider the following hypothetical example: In 1980, 50 percent of the population smoked, and in 1990 only 40 percent of the population smoked. One can thus say that from 1980 to 1990, the prevalence of smoking decreased by 10 ''percentage points'' (or by 10 percent of the population) or by ''20 percent'' when talking about smokers only – percentages indicate proportionate part of a total. Percentage-point differences are one way to express a risk or
probability Probability is a branch of mathematics and statistics concerning events and numerical descriptions of how likely they are to occur. The probability of an event is a number between 0 and 1; the larger the probability, the more likely an e ...
. Consider a drug that cures a given disease in 70 percent of all cases, while without the drug, the disease heals spontaneously in only 50 percent of cases. The drug reduces absolute risk by 20 percentage points. Alternatives may be more meaningful to consumers of statistics, such as the reciprocal, also known as the
number needed to treat The number needed to treat (NNT) or number needed to treat for an additional beneficial outcome (NNTB) is an epidemiology, epidemiological measure used in communicating the effectiveness of a health-care intervention, typically a treatment with me ...
(NNT). In this case, the reciprocal transform of the percentage-point difference would be 1/(20pp) = 1/0.20 = 5. Thus if 5 patients are treated with the drug, one could expect to cure one more patient than would have gotten well without receiving the treatment. For measurements involving percentages as a unit, such as, growth, yield, or
ejection fraction An ejection fraction (EF) is the volumetric fraction (or portion of the total) of fluid (usually blood) ejected from a chamber (usually the heart) with each contraction (or heartbeat). It can refer to the cardiac atrium, cardiac ventricle, gall ...
, statistical deviations and related
descriptive statistics A descriptive statistic (in the count noun sense) is a summary statistic that quantitatively describes or summarizes features from a collection of information, while descriptive statistics (in the mass noun sense) is the process of using and an ...
, including the
standard deviation In statistics, the standard deviation is a measure of the amount of variation of the values of a variable about its Expected value, mean. A low standard Deviation (statistics), deviation indicates that the values tend to be close to the mean ( ...
and root-mean-square error, the result should be expressed in units of percentage points instead of percentage. Mistakenly using percentage as the unit for the standard deviation is confusing, since percentage is also used as a unit for the relative standard deviation, i.e. standard deviation divided by average value (
coefficient of variation In probability theory and statistics, the coefficient of variation (CV), also known as normalized root-mean-square deviation (NRMSD), percent RMS, and relative standard deviation (RSD), is a standardized measure of dispersion of a probability ...
).


Related units

*
Percentage In mathematics, a percentage () is a number or ratio expressed as a fraction (mathematics), fraction of 100. It is often Denotation, denoted using the ''percent sign'' (%), although the abbreviations ''pct.'', ''pct'', and sometimes ''pc'' are ...
(%) 1 part in 100 *
Per mille The phrase per mille () indicates parts per thousand. The associated symbol is , similar to a per cent sign but with an extra zero in the division (mathematics), divisor. Major dictionaries do not agree on the spelling, giving other options o ...
(‰) 1 part in 1,000 *
Permyriad A basis point (often abbreviated as bp, often pronounced as "bip" or "beep") is one hundredth of 1 percentage point. Changes of interest rates are often stated in basis points. For example, if an existing interest rate of 10 percent is increased ...
(‱) 1 part in 10,000 **
Basis point A basis point (often abbreviated as bp, often pronounced as "bip" or "beep") is one hundredth of 1 percentage point. Changes of interest rates are often stated in basis points. For example, if an existing interest rate of 10 percent is increased ...
(bp) difference of 1 part in 10,000 *
Per cent mille A per cent mille or pcm is one one-thousandth of a percent. It can be thought of as a "milli-percent". It is commonly used in epidemiology, and in nuclear reactor engineering as a unit of reactivity. Epidemiology Statistics of crime rates, mort ...
(pcm) 1 part in 100,000 *
Parts-per notation In science and engineering, the parts-per notation is a set of pseudo-units to describe the small values of miscellaneous dimensionless quantities, e.g. mole fraction or mass fraction. Since these fractions are quantity-per-quantity meas ...
parts per million (ppm) etc.


See also

* Baker percentage *
Parts-per notation In science and engineering, the parts-per notation is a set of pseudo-units to describe the small values of miscellaneous dimensionless quantities, e.g. mole fraction or mass fraction. Since these fractions are quantity-per-quantity meas ...
* Percent point function *
Per-unit system In the power systems analysis field of electrical engineering, a per-unit system is the expression of system quantities as fractions of a defined base unit quantity. Calculations are simplified because quantities expressed as per-unit do not cha ...
* Relative change and difference


References

{{reflist Mathematical terminology Probability assessment Units of measurement