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Unformatted text preview: If the correlation = 0 it doesnt mean x & y are independent If correlation = 0 and x & y are independent then x and y must be from a normal distribution 2. a.) 10 2 (2-3x+e) = 6 + 6x 2e Correlation = close to -1 b.) correlation = 1 3.) a.) The correlation between e & Z should be close to 0 b.) The new correlation will be close to 1 c.) Make the largest number even larger than 15...
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This note was uploaded on 02/23/2010 for the course BUAD 310 at USC.