Linear Correlation - 3 - Types - Linear and Non linear Correlation
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Linear Correlation
(Correlation Analysis - Association between two variables)
Types of Correlation:
2) Linear and Non-linear Correlation
i. Linear Correlation
The correlation between two variables is said to be linear if corresponding to a unit change in one variable, there is a constant change in the other variable over the entire range of the values.
In general two variables X and Y are said to be linearly related if there exists a relationship of the form:
Y = a + bX and X = a + by
ii. Non-linear Correlation
The relationship between two variables is said to be non-linear and curvy linear if corresponding to a unit change in one variable, the other variable does not change at a constant rate but at fluctuating rate. In such cases, if the data are placed on the XY plan we do not get a straight-line curve.
Mathematically speaking for the correlation is said to be non-linear if the slope of the plotted curve is not constant. Such phenomena are common in the data relating to economics and social sciences.
Since, the techniques for the analysis and measurement of non-linear relation are quite complicated and tedious as compared to the methods of studying and measuring linear relationship. It is generally assumed that the relationship between the two variables under study is linear.
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