**Unformatted text preview: **If the correlation = 0 it doesn’t 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...

View
Full Document