If the Correlation Coefficient for X and Y Is Calculated

question 1

Short Answer

If the correlation coefficient for X and Y is calculated to be +.47, what is the proportion of variance accounted for?

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Definitions:

Marginal Product

The extra output generated from increasing a particular input by one unit while keeping all other inputs unchanged.

Output

The total amount of goods or services produced by a firm or economy over a specific period of time.

Derived Demand

The demand for a factor of production or intermediate good resulting from the demand for another good or service, such as the demand for steel being driven by the demand for automobiles.

U.S. Treasury Bonds

Long-term government debt securities issued by the U.S. Department of the Treasury, offering a fixed interest rate and guaranteed by the full faith and credit of the U.S. government.