Which transformation technique is effective for converting positively skewed data into a normal distribution?

The logarithmic transformation is particularly effective for converting positively skewed data into a more normally distributed shape. When applied to positively skewed data, this transformation compresses the range of the data, reducing the influence of extreme values on the overall distribution. As a result, it decreases skewness and can help stabilize variance, making the data more suitable for statistical analysis that assumes normality.

The logarithmic transformation specifically addresses issues related to multiplicative relationships and exponential growth, which are common in positively skewed data. By taking the logarithm of each data point, the transformation effectively pulls in larger values, allowing the distribution to take on a shape closer to normal.

While other transformation techniques can also address skewness, the logarithmic transformation is often the first approach considered for positively skewed data, given its robust performance in many practical scenarios. This straightforward method provides a simple yet powerful way to remedy skewness without needing additional parameters or complexity associated with some other transformations.