CORRELATION &

REGRESSION
What is Correlation?
 Correlation is a description of a relationship between two variables for
example Study Time and Test Marks.
 There are 3 types of correlation. Positively linear correlation (strong or
weak), negatively linear correlation (strong or weak) and no correlation.
 Type of correlation can be deduced by plotting scatter diagram or calculating
one of the Coefficient Correlation. (do not follow these examples when plot
your scatter diagram)
What is Regression?

 Regression is a method of deducing the exact formula between the two

correlated variables.
 Usually it is a linear relationship (i.e y=mx+c)
 Regression allows us to make prediction on future value of certain variable
(i.e. if I study 14 hours per day what Test Mark will I get)
 This chapter is divided into 2 main parts
 CORRELATION-LEARNING OUTCOME
1. plot a scatter diagram, and describe
the correlation between two
variables;
2. identify a spurious correlation;
3. calculate and interpret the Pearson
correlation coefficient;
4. calculate and interpret the
Spearman rank correlation
coefficient;
 REGRESSION-LEARING OUTCOME
1. find the equation of a least squares
regression line;
2. interpret regression coefficients;
3. use a regression line to make
predictions;
4. calculate and interpret the
coefficient of determination;
5. use transformation of variables to
obtain linearity in regression
analysis.
How to Plot Scatter Diagram

1. Read pairs of data given.

2. Draw a graph with one variable on the x- axis and the other variable on the y-
axis. (WITH UNITS LABELLED ON AXIS)
3. Mark all pair of data with ‘x’.
4. Done. Ez
Exercise 1.1 Plot these data on a scatter
diagram and deduce it’s relationship.