Question

the scatterplot of the housing cost index versus the median family income for 10 states is shown on the right. the correlation is 0.646. complete parts a) through e).

c) if we had measured median family income in thousands of dollars instead of dollars, how would the correlation change?

a. the correlation would not change.
b. the correlation would be lower.
c. the correlation would be 1000 times smaller.
d. the correlation would be higher.

Explanation:

Step1: Recall correlation property

The correlation coefficient \(r\) is a unit - less measure. It does not depend on the units of measurement of the two variables.

Answer:

A. The correlation would not change.