Question

If the correlation coefficient is 0.654, what is the explained variation? (give answer as a percent)

Answer 1

42.7%

Explanation:

Correlation is a statistical measure of inter relationship between two variables' co movement.

Correlation coefficient denotes the direction & extent by which two variables' (same or opposite) movement is linked to each other.

Coefficient of determination = r^2 symbolises percentage of variation in one variable, that can be explained by variation in other variable.

So, in this case r^2 = (0.654)^2 = 0.427716 ; Hence approx 42.7% variation in one variable can be explained by variation in other.