Page 295 - DMTH404_STATISTICS

Sachin Kaushal, Lovely Professional University Unit 22: Correlation

Unit 22: Correlation Notes

CONTENTS

Objectives
Introduction
22.1 Definition of Correlation
22.1.1 Scope of Correlation Analysis

22.2 Scatter Diagram
22.3 Karl Pearson's Coefficient of Linear Correlation
22.4 Properties of Coefficient of Correlation
22.5 Probable Error of r

22.5.1 Uses of P.E.(r)
22.6 Correlation in a Bivariate Frequency Distribution
22.7 Merits and Limitations of Coefficient of Correlation
22.8 Spearman's Rank Correlation

22.9 Coefficient of Correlation by Concurrent Deviation Method
22.10 Summary
22.11 Keywords
22.12 Self Assessment

22.13 Review Questions
22.14 Further Readings

Objectives

After studying this unit, you will be able to:

 Definition of Correlation
 Discuss Scatter Diagram
 Explain Karl Pearson's Coefficient of Linear Correlation

 Discuss Properties of Coefficient of Correlation
 Describe Probable Error of r

Introduction

So far we have considered distributions relating to a single characteristics. Such distributions
are known as Univariate Distribution. When various units under consideration are observed
simultaneously, with regard to two characteristics, we get a Bivariate Distribution. For example,
the simultaneous study of the heights and weights of students of a college. For such data also, we

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