Question

On a scatter plot in which we plan to develop a regression-based forecast, a smattering of points shows a pattern of a relationship between the "x" and "y" variables. Specifically, when x tends to increase, y tends to increase. Most likely, the coefficient of correlation (r) is between:

Answer 1

Answer:

The coefficient of correlation (r) is between 0 and 1 (0 < r ≤ 1).

Explanation:

If there is a positive correlation, it means the correlation coefficient is positive. This implies that both variables increase together, when X tends to increase, Y tends to increase.

A perfect positive correlation (in which all the points on a scatter plot lie on an ascending straight line) has a coefficient of correlation, r equals to one (r = 1).

Also, when the values of r are close to 1, it indicates a strong positive correlation while positive values closer to 0 indicate a weak positive correlation.