Statistics and Probability

Statistics and Probability
Ms. Edralyn R. Pamani

Correlation and
Regression Analysis
SCATTER PLOT
• Scatter plots are the graphs that present the
relationship between two variables in a data-
set. It represents data points on a two-
dimensional plane or on a Cartesian
system. The independent variable or attribute is
plotted on the X-axis, while the dependent
variable is plotted on the Y-axis. These plots are
often called scatter graphs or scatter diagrams.
TERMINOLOGIES
• DEPENDENT VARIABLE is a variable that affected by

the independent variable
• INDEPENDENT VARIABLE is a variable that can
cause the dependent variable to change
• BIVARIATE DATA are pairs of variables in a
gathered data
• TREND LINE is the line drawn in a scatter plot,
which is near to almost all the points in the plot
SCATTER PLOT CORRELATION
• Correlation is a statistical measure of the

relationship between the two variables’ relative
movements. If the variables are correlated, the
points will fall along a line or curve. The better
the correlation, the closer the points will touch
the line.
TYPES OF CORRELATION
•Positive Correlation
•Negative Correlation
•No Correlation
POSITIVE CORRELATION
Positive correlation can further be classified into three
categories:
• PERFECT POSITIVE CORRELATION– Which represents a
perfectly straight line and pointing upward to the right
• STRONG POSITIVE CORRELATION– All points are nearby.
Dots seem to follow a linear trend line that pointed upward
to the right
• WEAK POSITIVE CORRELATION– The points in the scatter
seem to follow a straight line pointing upward to the right
PERFECT STRONG WEAK POSITIVE
POSITIVE POSITIVE CORRELATION
CORRELATION CORRELATION
NEGATIVE CORRELATION
Negative correlation can further be classified into three
categories:
• PERFECT NEGATIVE CORRELATION– Which form almost a
straight line and is pointing downward to the right.
• STRONG NEGATIVE CORRELATION– When points are near
to one another. Dots seem to follow a linear trend line that
pointed downward to the right.
• WEAK NEGATIVE CORRELATION– The points in the scatter
seem to follow a straight line pointing upward to the left.
PERFECT STRONG
WEAK NEGATIVE
NEGATIVE NEGATIVE
CORRELATION
CORRELATION CORRELATION
NO CORRELATION
When the points are scattered all over

the graph and it is difficult to conclude
whether the values are increasing or
decreasing, then there is no correlation
between the variables.
PEARSON PRODUCT MOMENT
CORRELATION COEFFICIENT
PEARSON PRODUCT MOMENT CORRELATION
COEFFICIENT
•Also known as PEARSON CORRELATION

COEFFICIENT
•Pearson Product Moment Correlation

Coefficient (r) measures the strength of
relationship between the two variables.
PEARSON PRODUCT MOMENT
CORRELATION COEFFICIENT FORMULA
Where:
The values of r ranges from -1 to +1 where +1 indicates a
perfect positive correlation between variables and -1
indicates a perfect negative correlation between variables.
If the value of r is close to +1 then there is strong positive
correlation. And if the value of r is close to -1 indicates a
strong negative correlation. The table below shows the
interpretation of r between two variables.
REGRESSION ANALYSIS
REGRESSION ANALYSIS
• Regression analysis is a set of statistical

methods used for the estimation of
relationships between a dependent variable
and one or more independent variables.
• It is the process of predicting the value of one
variable in relation to another variable.
REGRESSION ANALYSIS
• a REGRESSION LINE is a line that best describes the

behavior of a set of data.
• it’s a line that best fits the trend of a given data.
• we say that the points in the scatterplot regress
with reference to the line. If the average (Y)
distance of the points from this line is the least,
then we call this line the regression line
Formula for linear regression:
𝑌=𝑚X+𝑏
Where m is the slope and b is the y-intercept. We use the Pearson
Product-Moment Correlation or Pearson’s r correlation coefficient
as the slope of the equation, or that

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Statistics and Probability

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Statistics and Probability

Ms. Edralyn R. Pamani

• DEPENDENT VARIABLE is a variable that affected by

• Correlation is a statistical measure of the

When the points are scattered all over

•Also known as PEARSON CORRELATION

•Pearson Product Moment Correlation

• Regression analysis is a set of statistical

• a REGRESSION LINE is a line that best describes the

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