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Suppose the correlation between two variables (x, y) in a data set is determined to be r = 0.63, What must be true about the slope, b, of the least-squares line estimated for the same set of data? The slope will have the same sign as the correlation. The slope will have the opposite sign as the correlation. The slope will also be a value between −1 and 1. The slope b is always equal to the square of the correlation r

Question

Suppose the correlation between two variables (x, y) in a data set is determined to be r = 0.63, What must be true about the slope, b, of the least-squares line estimated for the same set of data? The slope will have the same sign as the correlation. The slope will have the opposite sign as the correlation. The slope will also be a value between −1 and 1. The slope b is always equal to the square of the correlation r

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Solution

The slope of the least-squares line estimated for the same set of data will have the same sign as the correlation.

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What can we say about the relationship between the correlation r and the slope b of the least-squares line for the same set of data? Both r and b always have values between −1 and 1. b is always larger than r. r is always larger than b. r and b have the same sign (+ or −). The slope b is always equal to the square of the correlation r.

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