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Correlation

**Correlation** - is a statistical measure to quantify the strength of the relationship between two quantitative and continuous variables. The relationship can be one of the following

Positive - increasing one variable would increase the other

Negative - increasing one variable would decrease the other

No Correlation - increasing one variable has no impact on the other

Correlation is usually denoted by Pearson's Correlation Coefficient (r) and it ranges from -1 to 1.

-1: Perfect negative correlation

0: No correlation

1: Perfect positive correlation

An application oriented question on the topic along with responses can be seen below. The best answer was provided by Venugopal R on 11th October 2017.

## Question

## Vishwadeep Khatri 265

Correlation does not prove the cause-effect relationship between two variables. Why do we still use it in root cause analysis? Please answer in your own words.

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