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Understanding Correlation and Its Types

Correlation is the statistical relationship between two or more variables, indicating how they move together. The Coefficient of Correlation (r) quantifies this relationship, ranging from -1 to 1, where values close to 1 or -1 indicate strong correlations, while values near 0 suggest no correlation. There are positive and negative correlations, as well as zero correlation, where changes in one variable do not affect the other.

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219 views7 pages

Understanding Correlation and Its Types

Correlation is the statistical relationship between two or more variables, indicating how they move together. The Coefficient of Correlation (r) quantifies this relationship, ranging from -1 to 1, where values close to 1 or -1 indicate strong correlations, while values near 0 suggest no correlation. There are positive and negative correlations, as well as zero correlation, where changes in one variable do not affect the other.

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abubakarhab55
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CORRELATION

CORRELATION
 Correlation refers to the statistical relationship
between two or more variables. It measures how
closely the variables move together, either positively
(increasing together) or negatively (decreasing
together), or if there is no relationship at all.
COEFFICIENT OF
CORRELATION
The Coefficient of Correlation (r) is a numerical value between -1 and 1
that quantifies the strength and direction of the linear relationship
between two variables. The coefficient indicates:
 Strength: The closer the coefficient is to 1 or -1, the stronger the
correlation.
 Direction: A positive coefficient indicates a positive correlation, while a
negative coefficient indicates a negative correlation.-
 No correlation: A coefficient close to 0 indicates no significant
correlation between the variables.
TYPES:

Positive Correlation Negative Correlation


 When two variables move in  When two variables move in
the same direction. opposite directions.
 If one variable increases,  If one variable increases, the
the other also increases, other decreases, and vice
 and if one decreases, the versa.
other decreases.
POSITIVE CORRELATION
Perfect Positive Perfect Negative
Correlation Correlation
■ When two variables move in the ■ When two variables move in
same direction, and the opposite directions, and the
relationship is perfectly linear. relationship is perfectly linear.
Every increase in one variable Every increase in one variable
corresponds to a proportional corresponds to a proportional
increase in the other. decrease in the other.
■ Coefficient (rrr): r=+1r = ■ Coefficient (rrr): r=−1r = -
+1r=+1. 1r=−1.
ZERO CORRELATION
•When there is no relationship between two variables.
•Changes in one variable do not predict or affect the other.
•Example:
•The number of books you read and the color of your car.
•Shoe size and intelligence level.
•Coefficient (r): r=0r = 0r=0.
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