Question

Provide an example of where you could use correlation in real life. Explain why a re-test is necessary before you accept this correlation as being real in the population.

Answer 1

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Answer:

Correlation is the measure of association between two numerical variables. The correlation coefficient r, ranges from -1 to +1 where -1 represents perfect negative linear relationship, 0 represents no relationship and +1 represents perfect positive relationship.

A real life example would be when a person tries to determine the effect of temperature to water consumption in the summer. They will be able to determine that the hotter it gets the thirstier they get hence a positive correlation exists between the rising of temperature and the consumption of water.

T-test is used for hypothesis testing. This is because it is important to actually know that the populations in correlation test actually correlate before accepting correlation. The higher the p value at a particular level of significance selected then the higher the correlation between the populations in test.