We discuss the microstates of compressed granular matter in terms of two independent ensembles: one of volumes and another of boundary force moments. The former has been described in the literature and gives rise to the concept of compactivity: a scalar quantity that is the analogue of temperature in thermal systems. The latter ensemble gives rise to another analogue of the temperature: an angoricity tensor. We discuss averages under either of the ensembles and their relevance to experimental measurements. We also chart the transition from the microcanoncial to a canonical description for granular materials and show that one consequence of the traditional treatment is that the well-known exponential distribution of forces in granular systems subject to external forces is an immediate consequence of the canonical distribution, just as in the microcanonical description E = H leads to exp (-H/kT). We also put this conclusion in the context of observations of nonexponential forms of decay. We then present a Boltzmann-equation and Fokker-Planck approaches to the problem of diffusion in dense granular systems. Our approach allows us to derive, under simplifying assumptions, an explicit relation between the diffusion constant and the value of the hitherto elusive compactivity. We follow with a discussion of several unresolved issues. One of these issues is that the lack of ergodicity prevents convenient translation between time and ensemble averages, and the problem is illustrated in the context of diffusion. Another issue is that it is unclear how to make use in the statistical formalism the emerging ability to exactly predict stress fields for given structures of granular systems.