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Understanding Correlation in Statistics

This document discusses correlation and the relationship between variables. It explains that a positive correlation exists when one variable increases as another increases, while a negative correlation occurs when one variable decreases as another increases. The strength of a correlation is determined by the correlation coefficient. Strong correlation does not necessarily mean one variable causes the other. Causality refers to one variable directly causing changes in another. Examples are provided to illustrate correlation analysis.

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15 views3 pages

Understanding Correlation in Statistics

This document discusses correlation and the relationship between variables. It explains that a positive correlation exists when one variable increases as another increases, while a negative correlation occurs when one variable decreases as another increases. The strength of a correlation is determined by the correlation coefficient. Strong correlation does not necessarily mean one variable causes the other. Causality refers to one variable directly causing changes in another. Examples are provided to illustrate correlation analysis.

Uploaded by

Sonny Jim
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd

GENERAL MATHEMATICS HSC – DATA 6/7 NOTES 6

Correlation!
The pattern of the scatterplot gives an indication of the level of association (correlation)
between the variables.
When one variable increases with another, there is a ______________ correlation between
them. THINK GRADIENT!!
When one variable decreases with another, there is a ______________ correlation
between them.
The strength of a correlation is based on the correlation coefficient. The correlation
coefficient is a measure of a correlation. The description of the correlation is given in the
figure below.

Strong correlation between two variables does NOT necessarily mean that one variable
“causes” the other eg there is a high correlation between a person’s shoe size and shirt
size. One however, does not cause the other. Similarly, there is a high correlation between
a high pulse rate and high intensity physical activity and this case, high intensity physical
activity does effect pulse rate!
Causality refers to one variable causing another.

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GENERAL MATHEMATICS HSC – DATA 6/7 NOTES 6

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GENERAL MATHEMATICS HSC – DATA 6/7 NOTES 6

eg The operators of a casino keep records of the number of people playing a “Jackpot” type
of game and compare the numbers playing to the size of the jackpot. The corrleaqtion
coefficient for this game is calculated to be 0.65. Describe the correlation between the prize
and the number of players.

eg A manufacturer who is interested in minimising the cost of training gives 15 of his plant
operators different amounts of training and then measures the number of errors made by
each of the operators. The results of the experiment are placed on a scatterplot and the
correlation between the hours of training and the number of errors made is measured to
have a correlation coefficient of -0.69.
a) What can be said of the correlation between training and errors?
b) What conclusion could the manufacturers made about causality in this case?

eg Discuss the expected strength of the relationship (ie the correlation) between the
following variables:
a) Speed and distance travelled;
b) Age and weight of a baby, up to 12 months of age;
c) Company expenditure on advertising sales;
d) Height of 18 year old boys and mark in Mathematics in the HSC.

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