Question

Identify the correct statement(s) about the correlation between two variables.

Statement 1: Correlation does not show that there is a causal relationship between two variables
Statement 2: Correlation shows the degree to which variations in one variable explain the variation of the second variable

• A. Statement 1
• B. Statement 2
• C. Neither Statement 1 nor Statement 2
• D. Both Statement 1 and Statement 2

Answer 1

The correct option is B

Statement 2

Correlation shows the degree to which variations in one variable explain the variation of the second variable. It does not show that there is a causal relationship between two variables.