STATISTICAL TECHNIQUES AND TOOLS
CORRELATION COEFFICIENT COEFFICIENT OF DETERMINATION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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-1 and 0
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-1 and 1
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0 and 1
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None of the above
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Detailed explanation-1: -The value of R2 lies within the range of 0 and 1. It means if the value is 0, the independent variable does not explain the changes in the dependent variable. However, a value of 1 reveals that the independent variable explains the variation in the dependent variable perfectly well.
Detailed explanation-2: -The coefficient of determination (R²) is a number between 0 and 1 that measures how well a statistical model predicts an outcome. You can interpret the R² as the proportion of variation in the dependent variable that is predicted by the statistical model.
Detailed explanation-3: -Key properties of R-squared A value of 1 indicates that predictions are identical to the observed values; it is not possible to have a value of R² of more than 1.