Scribd
Upload
96 views3 pages

Covariance and Correlation-9

Covariance and correlation are statistical concepts that describe the relationship between two variables. Covariance measures how much two random variables change together, taking any value between negative infinity and positive infinity, while correlation measures the strength and direction of the relationship between variables on a scale from -1 to 1. Both concepts can indicate whether changes in one variable correspond to changes in the other variable and whether the relationship is positive or negative.

Uploaded by

Shobha Kumari Choudhary
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
96 views3 pages

Covariance and Correlation-9

Covariance and correlation are statistical concepts that describe the relationship between two variables. Covariance measures how much two random variables change together, taking any value between negative infinity and positive infinity, while correlation measures the strength and direction of the relationship between variables on a scale from -1 to 1. Both concepts can indicate whether changes in one variable correspond to changes in the other variable and whether the relationship is positive or negative.

Uploaded by

Shobha Kumari Choudhary
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 3

Mathematics | Covariance and

Correlation
Covariance and Correlation are two mathematical concepts which are
commonly used in the field of probability and statistics. Both concepts
describe the relationship between two variables.
Covariance –
1. It is the relationship between a pair of random variables where change in
one variable causes change in another variable.
2. It can take any value between -infinity to +infinity, where the negative
value represents the negative relationship whereas a positive value
represents the positive relationship.
3. It is used for the linear relationship between variables.
4. It gives the direction of relationship between variables.
Formula –
For Population:

For Sample

Here,
x’ and y’ = mean of given sample set
n = total no of sample
xi and yi = individual sample of set
Example –
Correlation –
1. It show whether and how strongly pairs of variables are related to each
other.
2. Correlation takes values between -1 to +1, wherein values close to +1
represents strong positive correlation and values close to -1 represents
strong negative correlation.
3. In this variable are indirectly related to each other.
4. It gives the direction and strength of relationship between variables.
Formula –

Here,
x’ and y’ = mean of given sample set
n = total no of sample
xi and yi = individual sample of set
Example –
Covariance versus Correlation –
Covariance Correlation

Covariance is a measure of how Correlation is a statistical measure that


much two random variables vary indicates how strongly two variables are
together related.

involve the relationship between involve the relationship between


two variables or data sets multiple variables as well

Lie between -infinity and +infinity Lie between -1 and +1

Measure of correlation Scaled version of covariance

provide direction and strength of


provide direction of relationship
relationship

dependent on scale of variable independent on scale of variable

have dimensions dimensionless

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy