Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Suzanne is a content marketer, writer, and fact-checker. She holds a ...

Reviewed by Thomas J. Catalano Fact checked by Vikki Velasquez You can calculate the correlation coefficient to find the correlation between any two variables, whether they are market indicators, ...

Learn more about covariance and how financial planners and economists use the concept. Explore an example of covariance in ...

In economics, correlations are common. But identifying whether the correlation between two or more variables represents a causal relationship is rarely so easy. Countries that trade more with the rest ...

Confidence ellipses can also serve as visual indicators of correlations. The confidence ellipse collapses diagonally as the correlation between two variables approaches 1 or -1. The confidence ellipse ...

The objective of econometrics is to convert qualitative statements (such as “the relationship between two or more variables is positive”) into quantitative statements (such as “consumption expenditure ...

Analysts often test the relationship between two variables by plotting a sample of observations on a chart and then ...