Pearson's Correlation Coefficient

Pearson's Correlation Coefficient

Definition

Pearson's Correlation Coefficient measures the strength of the linear relationship between two variables. It is usually signified by r and takes on values between -1.0 and 1.0. Where -1.0 is a perfect negative correlation, 0.0 is no correlation, and 1.0 is a perfect positive correlation.

The coefficient also tells you if the relationship is positive or negative by whether the value of r is positive or negative. Positive correlation indicates that as the values of x increase, the values of y also increase. A negative correlation indicates that as one variable increases, the other decreases.

The formula for r-value is as follows:

Pearson

Mostly calculators and com**rs are used to find the coefficient. It is the expectation of this course that you will understand how to use and interpret the coefficient, not calculate it using the formula.