Question

How do I find and interpret the linear correlation coefficient?

Answer 1

See explanation. I would suggest that you look it up in a book. Dictionary of mathematics perhaps.

Explanation:

`color(blue)("Finding the coefficient")`

This is one of those questions that is rather like: "how long is a piece of string".

It all depends on the structure of the relationship which has many variations. So it is hard to give a definitive answer.

Linea points to a fixed value coefficient.

By example:

Let the independent variable be `x`
Let the dependant variable be `y`
Let the correlation coefficient be `k`

Then we have the general form of;

`y=kx`

To find the value of `k` divide both sides by `x` giving:

`k=y/x`
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
`color(blue)("Interpreting the coefficient")`

Again this is dependant on context. Basically it fixes the major relationship between the dependant and independent variables.

It could be described as a conversion factor