Of the Following, Which Is True of Pearson's Correlation Coefficient

question 20

Multiple Choice

Of the following, which is true of Pearson's correlation coefficient, r? ​

• A)The value of r does not depend on the units of y and x.
• B)r = 0 indicates a perfect correlation between x and y.
• C)r cannot be less than 0 or greater than 1.
• D)The value of r depends on which of two variables is labeled x.
• E) is greater than 1.0 unless the points on a scatterplot line up exactly.

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Definitions:

Price

The amount of money expected, required, or given in exchange for something else; a fundamental economic concept that represents the value of a good or service.

Excess Demand

A situation in a market where the quantity demanded of a product exceeds the quantity supplied at a given price, leading to upward pressure on prices.

Sunglasses

Sunglasses are eyewear designed to protect the eyes from the harmful rays of the sun and reduce glare, while often serving as a fashion accessory.

Supply

The total amount of a good or service that is available to consumers.