Testing for the existence of correlation is equivalent to
A) testing for the existence of the slope (β₁).
B) testing for the existence of the Y-intercept (β₀).
C) the confidence interval estimate for predicting Y.
D) none of the above

Question

Quizplus · Accepted Answer

Testing for the existence of correlation is essentially testing whether a relationship exists between two variables, which is equivalent to testing whether the slope (β₁) of the linear regression equation is significantly different from zero. Therefore, choice A is the best answer. Choice B is not correct because the existence of correlation is not related to the Y-intercept (β₀), which simply represents the predicted value of Y when X equals zero. Choice C is also not correct because the confidence interval estimate for predicting Y refers to the precision or uncertainty associated with the predicted values of Y based on the observed values of X and the estimated regression equation, rather than the existence of correlation per se. Choice D is incorrect because one of the above choices is the correct answer.

Testing for the Existence of Correlation Is Equivalent to