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Friday, November 15, 2013

Correlations



Zero Order Correlation :- Zero order correlation means there is no correlation between the two quantities. They vary independently.  If classes in one variable are associated by the classes in the other, then the variables are called correlated. The correlations is said to be perfect if the ratio of two variable deviations is constant. Numerical measure of correlation is called co- efficient of correlations. A group of n individuals may be arranged in the order of merit with respect to some characteristics.

The same group would give different order for different characteristics. Consider order corresponding to two characteristics A and B. The correlations between these n pairs of ranks is called rank correlation in characteristics A and B for the group of individuals.  When the variation of the value of one variable becomes the cause of the variation of the value of other variable then it is called the correlation between the two variables. When the variation between two quantities is directly proportional then it is called positive correlations. It means when one variable increases other also increases or when one variable decreases other variable also decreases.

When the variation between two quantities is indirectly proportional then it is called negative correlations. It means when one variable increases other decreases or when one variable decreases other variable increases. For example the production of any quantity is indirectly proportional to the cost of that quantity. When the temperature increases the charge of the electricity bill also increases. This is the example of positive correlations.

On the other hand during the summer season the length of night hours decreases. It means the day hours are increasing and night hours are decreasing. During the cold season the day hours are decreasing whereas the night hours are increasing. There is a negative correlation between the day and the night hours. The reception of the radio signals is indirectly proportional to the distance from the transmitter. The reception near the transmitter is better than the reception at a distance. As the distance between the transmitter and the receiver increases the signal strength in the receiver decreases. It means the signal strength is indirectly proportional to the distance from the transmitter.

This is an example of the negative correlation. Zero order correlation means there is no correlation and all the quantities have their own graph.

Correlation Equation: - Correlation equations are written to find the order of correlations. We can find the perfect positive correlation, negative correlation or zero order correlations.  The numerical measure of correlation is called co- efficient of correlation and is defined as
r = (∑XY)/(n σx σy ) =(∑XY)/√(∑X² ∑Y²), where X and Y are the deviation from the mean positions.

Deviations are used to find the lower and upper bound of that quantity. Let a resistance value is written as 200 ± 5%.

The lower value of the resistance is equal to 190 and upper value is 210 ohm.
σ²x=(∑x²)/n  ,   σ²y=(∑y²)/n

Where, X = deviation from mean, ¯x=x-¯x

Y = deviation from mean, ¯y=y-¯y
σ_(x =  Standard deviation of x series )
σ_(y =  Standard deviation of y series )
n = number of values in two variables

We can also use the direct Method by substituting the value of σ_(x ) and  σ_(y ) in the above mentioned formula.

r = (∑XY)/(n σx σy ) = (∑XY)/√(∑X² ∑Y²)          or (n∑xy- ∑x∑y)/√(n∑x²-(∑x )²4 ×{n∑y²-∑x²}

Where r is the coefficient of correlation which can be used to find the rank of two quantities.

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