Part IV: Correlation and Regression
Types of Correlation Coefficients

 
 
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The basic Pearson Product Moment Correlation Coefficient (PPMC) can be used with several levels of measurement of both X and Y. All of the PPMC's are algebraically equivalent and have calculated values that range between -1.00 and 1.00. Additional formulas are given for computational purposes. For example:
  • If X = interval level, Y = interval level:

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  • If X = dichotomous, Y = interval:

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Note: this is the same measure as an independent groups t test: we have 2 groups, each measured on Y. Where as t is a test of the significance of the X and Y relationship, the point biserial is a measure of the magnitude of this relationship.

  • If X and Y are both dichotomous:

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Note: This is essentially a chi square contingency table. Here chi square would be the test of signficance while phi is the measure of magnitude. A similar measure exists for situations where the number of rows and columns are greater than 2; however, this related measure is not a PPMC.

  • If X and Y are both ordinal:

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Kendall's Tau is another measure of magnitude which can be used when both X and Y are ordinal. Kendall's Tau is not a PPMC, but is beneficial in cases where there are many tied ranks.