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# BIVARIATE CORRELATION ANALYSIS

1.1 BIVARIATE CORRELATION ANALYSIS, What is it ?

Data is only useful when you can derive a pattern or useful information from it otherwise its just a bunch of numbers and words.

Suppose you are given data of number of pages a particular topic contains and number of hours required to complete them. Now finding relationship for this type of data where only two variables are there is known as bivariate correlation analysis.

Now how to find a relationship between them , the name sounds quiet tricky but its not that difficult. Let me show you.

First what you need to do is visualize the graph, it would look something like this

In this graph we have just plotted number of pages and number of hours required in a particular topic , you can see that we can easily see a pattern, as the number of pages increases the number of hours is also increasing linearly( in a straight line ) , therefore there is a linear relationship between them.

This is bivariate correlation analysis , Quiet simple right ? Told You.

1.2 Coefficient of linear correlation

It provides a measure of how well a linear regression model explains the relationship between two variables. It tells us weather the variables are closely or unclosely related, directly or indirectly related etc.

For example weather the number of hours will increase or decrease with increase in number of pages.

This is also quiet simple, we will just have to assign a value to a variable r between 0 to -1 depending on the relationship.

I have a made a table for you

Now lets test what we have learned so far.

Written by Pratyaksh ( Pursuing graduation from St.Xaviers Calcutta and has cleared 2 actuarial papers )