It is the mental shortcut for squaring numbers just below a round one. 19² = (20−1)² = 400 − 40 + 1 = 361. 98² = (100−2)² = 10000 − 400 + 4 = 9604. The minus sign on the middle term is the only change from (a+b)². Builders and machinists use it when a square is trimmed down by a margin on two sides; the area lost is 2ab − b², which is why shaving a little off each side removes more than you might expect.
Why is the middle term negative here but positive in (a+b)²?
Because you are subtracting. Expanding (a−b)(a−b) gives a² − ab − ba + b² = a² − 2ab + b². The two cross-products are now negative, so they subtract. Geometrically, starting from an a×a square and cutting back to side (a−b), you remove two a×b strips (the −2ab) but you have double-counted the little corner b×b square, so you add it back - which is exactly the +b². Getting the sign of the middle term wrong is a classic exam slip.
How is this used in statistics?
It is the heart of how 'spread' is measured. Variance and standard deviation are built from squared differences from the mean, (x − mean)². Every data point's deviation is squared using exactly this identity, which is why squaring is central to statistics: it makes all deviations positive and penalises large gaps more. The same (a−b)² shape underlies least-squares fitting, the method behind trend lines and most of machine learning's error measures.
Does (a−b)² appear in physics or engineering?
Frequently. Kinetic-energy changes, error margins, and tolerance calculations all involve squared differences. When an engineer computes how far a measurement deviates from a target and squares it (to weight large errors more and ignore sign), that is (a−b)². Control systems and signal processing minimise squared error - the difference between desired and actual - using this exact expansion.
How does it help with quick mental arithmetic?
Any number near a round value squares fast: pick the nearest ten or hundred as a, the gap as b, and apply a² − 2ab + b². For 47²: nearest is 50, so (50−3)² = 2500 − 300 + 9 = 2209. The round square is easy, the cross term is a quick doubling, and the correction b² is small. Together with (a+b)², this lets you square almost any two-digit number mentally in seconds.