18.4 — pearson’s correlation coefficient Flashcards
what is correlation?
the relationship between two variables
what are the types of correlation and what is the relationship between the variables?
- positive — when both variables increase or decrease together
- negative — when one variable increases as the other decreases
- non existent — when there is no clear relationship, indication by a correlation coefficient close to 0
what does a correlation coefficient of 1 indicate?
a perfect, positive linear correlation where all points lie on a straight line
what does Pearson’s correlation coefficient assess?
the strength and direction of a linear relationship between two continuous variables that are normally distributed
what is the process for calculating Pearson’s correlation?
- calculate the mean of each variable
- subtract the mean from each observed value
- square the values from step 2
- multiply together the values calculated in step 2
- sum the values calculated in steps 3 and 4
what does an r value near +1 indicate?
a strong, positive correlation
what deos an r value near -1 suggest?
a strong, negative correlation
what does an r value around 0 imply?
there is no correlation