How do interpret the following r 0025 p 0049 and r 081 and p
How do interpret the following: r= 0.025 p= 0.049 and r= 0.81 and p= 0.002?
I am having a struggle with these 2 questions
Solution
(a)
r=0.025 and p=0.049
r = 0.025 indicates that the correlation between the two variables is positive but the degree of correlation is very low almost close to 0 (uncorrelation).
p=0.049 > 0.01 => At 1% level of significance the null hypothesis of nullity of correlation coefficient can be accepted and it can be concluded that the two variables are uncorrelated.
(b)
r=0.81 and p=0.002
r = 0.81 indicates that the correlation between the two variables is positive and the degree of correlation is very high almost close to 1 (perfect positive correlation).
p=0.049 > 0.01 => At 1% level of significance the null hypothesis of nullity of correlation coefficient can be rejected and it can be concluded that the two variables are correlated.
