If the correlation between two random variables X and Y is r xy = 0.4, which sta

Question

If the correlation between two random variables X and Y is rxy = 0.4, which statements are true?

a) If X decreases then Y tends to decrease also.

b) If X increases then Y tends to decrease.

c) If X decreases then Y tends to increase.

d) If X increases then Y tends to increase also.

The concepts of "causation" and "correlation" are equivalent.

a) True

b) False

a) If X decreases then Y tends to decrease also.

b) If X increases then Y tends to decrease.

c) If X decreases then Y tends to increase.

d) If X increases then Y tends to increase also.

Explanation / Answer

1) Since correlation is positive

a) If X decreases then Y tends to decrease also.

d) If X increases then Y tends to increase also.

2) b) False

They are seperate terms

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