Explain the use of a correlation. 2. Define the limitations of correlation (third variable problem and...

Explain the use of a correlation.

2. Define the limitations of correlation (third variable problem and the directionality problem).

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Expert Solution

Correlation measure the linear relationship between the two variables. It is lies between -1 to 1. If the correlation coefficient close to 1 or -1 then we say that the two variables are strongly correlated with each other. If the value of correlation coefficient close to 0, the two variables are weekly correlated or there is no correlation between them.

So we can measure the degree of how strong the relationship between the two variables using correlation coefficient.

Problems: If we want to find correlation among the three variables then there are no any formula to calculate the correlation among the three variables.

By using correlation coefficient we can say that the relationship between the two variables is negative or positive. And it is a measure of only linear relationship and not if there is curvilinear relationship then we can't use correlation coefficient.

orchestra answered 1 year ago

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