The Correlation Coefficient Between a Dependent and an Independent Variable

question 16

Multiple Choice

The correlation coefficient between a dependent and an independent variable is -0.4. What can we say about association between the two variables?

• A) the association is positive
• B) the association is not significant
• C) the association is weak and positive
• D) the association is inverse

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Definitions:

Dollar Appreciate

The increase in the value of the U.S. dollar relative to other currencies.

Dollar Depreciate

A decline in the value of the US dollar relative to other currencies, leading to decreased purchasing power internationally.

Currency Devaluations

The reduction in value of a country's currency with respect to foreign currencies.

Suppliers

Businesses or individuals that provide goods or services to another entity, typically for resale or business use.