Karl Pearson’s Coefficient of Correlation:
1. Karl Pearson’s Method is popularly known as Pearson’s coefficient of correlation denoted by the symbol V.
2. The coefficient of correlation V measures the degree of linear relationship between two variables say X and Y.
3. The Formula for computing Karl Pearson’s Coefficient of correlation is:
‘r’ is caluculated by Direct Method without taking deviation of terms either from actual mean or assumed mean.
(II) r is calculated by taking the Deviation from actual mean.
(III) ‘r’ is caluculated by taking assumed mean
Where dx refers to deviations of x series from assumed mean (x –x ), dy refers to deviations of y series from an assumed mean of (y – y)
Σdxdy = Sum of product of the deviations x and y series from their assumed means.
Σdx2 = Sum of the squares of the deviation of x series from an assumed mean
Σdy2 = Sum of the squares of the deviations of y series from an assumed mean
Σdx = Sum of the deviation of x series from an assumed mean of x
Σdy = Sum of the deviation of y series from an assumed mean of y