NCERT Book Class 11 Economics (Statistics for Economics) Chapter 6 Correlation

CHAPTER

Correlation

Studying this chapter should As the summer heat rises, hill
enable you to: stations, are crowded with more and
• understand the meaning of the
term correlation; more visitors. Ice-cream sales become
• u n d e r s t a n d t h e n a t u re of more brisk. Thus, the temperature is
r elationship between two related to number of visitors and sale
variables; of ice-creams. Similarly, as the supply
• calculate the different measures
of tomatoes increases in your local
of correlation;
• analyse the degree and direction mandi, its price drops. When the local
of the relationships. harvest starts reaching the market,
the price of tomatoes drops from Rs 40
per kg to Rs 4 per kg or even less. Thus
1. INTRODUCTION
supply is related to price. Correlation
In previous chapters you have learnt analysis is a means for examining such
how to construct summary measures
relationships systematically. It deals
out of a mass of data and changes
with questions such as:
among similar variables. Now you will
learn how to examine the relationship • Is there any relationship between
between two variables. two variables?