On the equivalence between a commonly used correlation coefficient and a least-squares function

Diane C Jamrog1, Yin Zhang, George N Phillips

  • 1Department of Computational and Applied Mathematics, Rice University, Houston, Texas, USA. djamrog@alumni.rice.edu

Related Concept Videos

Correlation and Regression00:53

Correlation and Regression

In statistics, correlation describes the degree of association between two variables. In the subfield of linear regression, correlation is mathematically expressed by the correlation coefficient, which describes the strength and direction of the relationship between two variables. The coefficient is symbolically represented by 'r' and ranges from -1 to +1. A positive value indicates a positive correlation where the two variables move in the same direction. A negative value suggests a negative...
Calibration Curves: Correlation Coefficient01:10

Calibration Curves: Correlation Coefficient

In a linear calibration curve, there is a value called the calibration coefficient, denoted by 'r,' which measures the strength and the direction of association between two variables. The correlation coefficient value ranges from −1 to +1. A value of +1 indicates a perfect positive linear correlation, −1 denotes a perfect negative correlation, and 0 implies no correlation between the two variables. A positive correlation value establishes that as one variable increases, the other increases, and...
Calculating and Interpreting the Linear Correlation Coefficient01:11

Calculating and Interpreting the Linear Correlation Coefficient

The correlation coefficient, r, developed by Karl Pearson in the early 1900s, is numerical and provides a measure of strength and direction of the linear association between the independent variable, x, and the dependent variable, y. Hence, it is also known as the Pearson product-moment correlation coefficient. It can be calculated using the following equation:
Microsoft Excel: Pearson's Correlation01:18

Microsoft Excel: Pearson's Correlation

Microsoft Excel is a powerful tool for statistical analysis, including calculating Pearson's correlation coefficient, which measures the strength and direction of a linear relationship between two continuous variables. Pearson's correlation coefficient, often denoted as "r," ranges from -1 to 1. A value close to 1 indicates a strong positive correlation, meaning as one variable increases, the other does too. A value close to -1 indicates a strong negative correlation, implying that as one...
Residuals and Least-Squares Property01:11

Residuals and Least-Squares Property

The vertical distance between the actual value of y and the estimated value of y. In other words, it measures the vertical distance between the actual data point and the predicted point on the line
If the observed data point lies above the line, the residual is positive, and the line underestimates the actual data value for y. If the observed data point lies below the line, the residual is negative, and the line overestimates the actual data value for y.
The process of fitting the best-fit...
Coefficient of Correlation01:12

Coefficient of Correlation

The correlation coefficient, r, developed by Karl Pearson in the early 1900s, is numerical and provides a measure of strength and direction of the linear association between the independent variable x and the dependent variable y.
If you suspect a linear relationship between x and y, then r can measure how strong the linear relationship is.
What the VALUE of r tells us:
The value of r is always between –1 and +1: –1 ≤ r ≤ 1.
The size of the correlation r indicates the strength of the linear...