correlation coefficient

correlation coefficient definition - business

correlation coefficient

In statistics, a measurement of the degree to which two things vary together. The maximum value for a correlation coefficient is 1.00, which occurs when two variables have a perfect positive correlation. A negative correlation coefficient indicates two variables that have an indirect relationship.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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