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Math Help - Pearson's correlation - quick questions

  1. #1
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    Pearson's correlation - quick questions

    I have this question related to finding Pearson's correlation coefficient. I already know how to find to coefficient but then the question asks to find r^2, so do I just find out the square of r? And then it says what does this number mean? What is r^2 supposed to represent? Thanks in advance.
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  2. #2
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    You just square r. The Pearson's correlation tells you if the regression model is a good one. Since r^2 = 1 - \frac{SSE}{SST} then  \implies r^2 \leq 1 . If the Pearson's correlation is close to 1, then that mean's that the model is a good model. If the person's correlation is not close to 1, then it means it is not a good model and you should use a different regresssion model.
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