Correlation←is a statistical method used to determine whether a linear relationship
between variables exists.
Regression←is a statistical method used to describe the nature of the relationship
between variables, that is, positive or negative, linear or nonlinear.
3. The purpose of this chapter is to answer these questions statistically
o 1. Are two or more variables linearly related?
o 2. If so, what is the strength of the relationship?
o 3. What type of relationship exists?
o 4. What kind of predictions can be made from the relationship?
4.
5. There are two types of relationships→simple and multiple.
o In a multiple relationship/ multiple regression←two or more independent
variables are used to predict one dependent variable.
o simple relationship←This type of relationship analysis is called
{{529197235196466::simple}} regression, and there is one independent variable
that is used to predict the dependent variable
6. Types of Variable
o there are two variables—an independent variable, also called an→explanatory
variable or a predictor variable,
o and a dependent variable, also called a→response variable.
7.
8. Simple relationships can also be positive or negative.
o A positive relationship←both variables increase or decrease at the same time
o A negative relationship←as one variable increases, the other variable decreases,
and vice versa.
9.
10. Scatter Plots and Correlation
o In simple correlation and regression studies, the researcher collects data on two
numerical or quantitative variables to see whether a relationship exists between
the variables.
o The independent variable←is the variable in regression that can be controlled or
manipulated.
o The dependent variable←is the variable in regression that cannot be controlled
or manipulated
o The independent and dependent variables can be plotted on a graph called
a→scatter plot.
11. The independent variable x is plotted on the→horizontal axis,
12. and the dependent variable y is plotted on the→vertical axis.
13. A scatter plot←is a graph of the ordered pairs (x, y) of numbers consisting of the
independent variable x and the dependent variable y.
14. The scatter plot←is a visual way to describe the nature of the relationship between the
independent and dependent variables
15. How to make scatter plot
o Step 1 Draw and label the x and y axes.
o Step 2 Plot each point on the graph, as shown
o Step 3 Make sure the numbers are all there place all the values of x and y
o Step 3 determine if there is a correlation and determine the regression If the dots
are near the imaginary straight line then you are goods but not and it is scattered
then you it does not have any linear relationship
16.
17. Correlation
o Correlation coefficient←a measurement used to determine the strength of the
linear relationship between two variables.
o There are several types of correlation coefficients:
o Pearson product moment correlation coefficient (PPMC),
o named after statistician {{6910491469642375::Karl Pearson}}, who pioneered the
research in this area
o The range of the correlation coefficient is from {{3046841235115516::+1 to -1.}}
o If there is a strong positive linear relationship between the variables, the value of
r will be close to→+1.
o If there is a strong negative linear relationship between the variables, the value
of r will be close to→-1.
o When there is no linear relationship between the variables or only a weak
relationship,the value of r will be close to→0
o FORMULA:
o Assumptions for the Correlation Coefficient
1. The sample is a→random sample.
2. The data pairs fall approximately on a {{9971147742303159::straight
line}} and are measured at the {{3407551149235213::interval or ratio}}
level.
3. The variables have a joint→normal distribution. (This means that given
any specific value of x, the y values are normally distributed; and given
any specific value of y, the x values are normally distributed.)
o Rounding Rule for the Correlation Coefficient Round the value of r to→three
decimal places.
o Significance of Correlation Coefficient
Since the value of r is computed from data obtained from samples,
there are two possibilities when r is not equal to zero: either the value of
r is {{9967967400113298::high enough}} to conclude that there is a
significant linear relationship between the variables, or the value of r is
due to{{8801257984758561:: chance}}.
To make this decision, you use a {{9908275493316641::hypothesis-
testing}} procedure.
The traditional method of hpothesis-testing procedure is similar to the
one used in previous chapters
Step 1 State the hypotheses.
Step 2 Find the critical values.
Step 3 Compute the test value.
Step 4 Make the decision.
Step 5 Summarize the results.
