What is an advantage of the correlation coefficient over the covariance?
A) It falls between 0 and 1.
B) It falls between -1 and 1.
C) It is a unit-free measure, therefore making it easier to interpret.
D) Both answers-that it falls between -1 and 1 and that it is a unit-free measure-are correct.

Question

Quizplus · Accepted Answer

The correlation coefficient is advantageous because it is both bounded between -1 and 1, indicating the strength and direction of a linear relationship, and it is unit-free, making comparisons across different datasets or variables easier to interpret.

What Is an Advantage of the Correlation Coefficient Over the Covariance