What is the relationship between the correlation of two variables and their covariance?
1 Answer
Nov 3, 2015
The explanation is given below.
Explanation:
When we study the data retailing to two variables X and Y, we obtain a measure of the correlation coefficient between X and Y.
The correlation coefficient is obtained as
r =#[# Cov(x,y)#/(sigma_x# .#sigma_y)# ]
Here#Cov(x,y)# signifies the variation between X and Y
#sigma_x# is a measure of the standard-deviation within the values of X.
#sigma_y# is the measure of the standard deviation of values within Y.
