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CHAPTER 6: AN INTRODUCTION TO CORRELATION AND …

211 CHAPTER 6: AN INTRODUCTION TO CORRELATION AND REGRESSION CHAPTER 6 GOALS Learn about the Pearson Product-Moment CORRELATION Coefficient (r) Learn about the uses and abuses of correlational designs Learn the essential elements of simple regression analysis Learn how to interpret the results of multiple regression Learn how to calculate and interpret Spearman s r, Point-Biserial r, and the Phi CORRELATION Are stock prices related to the price of gold? Is unemployment related to inflation? Is the amount of money spent on research and development related to a company s net worth? CORRELATION can answer these questions, and there is no statistical technique more useful or more abused than CORRELATION . CORRELATION is a statistical method that determines the degree of relationship between two different variables. It is also known as a bivariate statistic, with bi- meaning two and variate indicating variable or variance.

211 CHAPTER 6: AN INTRODUCTION TO CORRELATION AND REGRESSION CHAPTER 6 GOALS • Learn about the Pearson Product-Moment Correlation Coefficient (r) • Learn about the uses and abuses of correlational designs • Learn the essential elements of simple regression analysis • Learn how to interpret the results of multiple regression • Learn how to calculate …

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