What happens to the correlation between x and y

Reference no: EM131400555

1. Using a computer, determine what happens to the correlation between X and Y if the Y values are multiplied by 3.

2. Consider a least squares regression line Y = .5X +2+e, and where X and e are independent and both have a standard normal distribution. What happens to the correlation between X and Y if instead Y = .5X +2+2e? Hint: What happens to the residuals.

Reference no: EM131400555

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