When a truncated range occurs, which of the following is a likely result?
A) The coefficient of determination is larger than the true value.
B) The correlation coefficient tends to over-estimate the true population value.
C) The correlation coefficient tends to under-estimated the true population value.
D) The correlation is more likely to be statistically significant.

Question

Quizplus · Accepted Answer

Truncated range occurs when the range of data is artificially reduced due to limitations in measurement or sampling. This can result in a biased estimate of the correlation coefficient, which tends to underestimate the true population value. Therefore, option C is the likely result. The coefficient of determination can also be affected by a truncated range, but there is no reason to suggest that it will be larger than the true value. The same applies to option D, which suggests that statistical significance is more likely, but this may depend on other factors and cannot be inferred from a truncated range alone. Option B suggests that the correlation coefficient will over-estimate the true value, which is the opposite of what is expected in a truncated range.

When a Truncated Range Occurs, Which of the Following Is