Correlation Coefficient

Definitionnoun phrase

What is the correlation coefficient?

The correlation coefficient, r, is a number from −1 to 1 that measures how closely the points of a scatter plot follow a straight line. The sign gives the direction (positive slopes up, negative slopes down), and the size gives the strength: near ± 1 is strong, near 0 is weak or none.

In Spanish
coeficiente de correlación
Also called
r, Pearson correlation coefficient, correlation coefficient r, Pearson's r
Grade level
Algebra 1
Algebra 1StatisticsCCSS HSS-ID.C.8SATACTAP

Correlation Coefficient in a picture

Scatter plots with different correlation coefficientsFour scatter plots. Points on a rising straight line have r = 1. Points rising with some scatter have r about 0.91. Points with no pattern have r about 0. Points falling with little scatter have r about negative 0.96.r = 1perfect positiver ≈ 0.91strong positiver ≈ 0no linear patternr ≈ −0.96strong negative
The sign of r shows the direction of the trend; the **closer to 1 or −1**, the tighter the points hug a line.

Formal definition and notation

For paired data (xi, yi), i = 1, …, n, the Pearson correlation coefficient r is the sum of the products of the deviations (xi − x̄)(yi − ȳ), divided by the square root of the product of the two sums of squared deviations (formula below). It always satisfies −1 ≤ r ≤ 1, equals ± 1 exactly when all points lie on a non-horizontal line, has no units, and measures only linear association.

Symbol Read it as Meaning
r r the sample correlation coefficient
r2 r squared the coefficient of determination: the share of the variation in y explained by the linear model
x̄, ȳ x bar, y bar the means of the x-values and the y-values

Key facts

  • Rough guide: |r| ≥ 0.7 is strong, about 0.3 to 0.7 is moderate, and below 0.3 is weak. Always look at the scatter plot too.
  • The sign of r matches the sign of the slope of the line of best fit.
  • r = 0 means no linear pattern. A perfect U-shaped curve can still have r = 0.
  • r has no units, and changing units (inches to centimeters) or swapping x and y does not change it.
  • One outlier can change r a lot, and a strong r never proves causation.

Correlation coefficient formula

Correlation coefficient formula
r = Σ (x − x̄)(y − ȳ)√Σ (x − x̄)2 · Σ (y − ȳ)2
x − x̄
how far each x-value is from the mean of x
y − ȳ
how far each y-value is from the mean of y
Σ
add over all the data pairs

In practice a calculator or spreadsheet computes r (CORREL in a spreadsheet, LinReg on a graphing calculator). The formula shows why: points above both means or below both means push r up.

Correlation Coefficient examples, step by step

Example 1: Which is strongest?

Warm-up

Three data sets have r = 0.35, r = −0.91 and r = 0.78. Which shows the strongest linear relationship?

  1. Strength depends on the size of r, ignoring the sign.
  2. Sizes: 0.35, 0.91 and 0.78.
  3. The largest is 0.91, from r = −0.91.

Answer: r = -0.91 is strongest (a strong negative relationship).

Example 2: Compute r by hand

Core

Find r for the points (1, 3), (2, 5), (3, 4), (4, 8), (5, 10).

  1. Means: x̄ = 3 and ȳ = 6.
  2. Deviations: x − 3 gives −2, −1, 0, 1, 2; y − 6 gives −3, −1, −2, 2, 4.
  3. Sum of products: 6 + 1 + 0 + 2 + 8 = 17. Sums of squares: 10 for x and 34 for y.
  4. r = 17√10 · 34 = 17√340 ≈ 0.92.

Answer: r ≈ 0.92, a strong positive correlation.

Example 3: Interpret r squared

Test-style

For hours studied and test score, a class finds r = 0.8. What percent of the variation in scores is explained by the linear model with hours studied?

  1. Square the correlation: r2 = 0.82 = 0.64.
  2. As a percent: 64%.
  3. The other 36% of the variation comes from other factors or randomness.

Answer: 64% of the variation in test scores is explained by hours studied.

Common mistakes

✗ Mistaker = −0.9 is weaker than r = 0.5 because it is smaller.
✓ Instead|−0.9| = 0.9 > 0.5, so r = −0.9 is the stronger relationship.

The sign shows direction only. Compare strength with the absolute value.

✗ Mistaker = 0, so x and y are not related at all.
✓ Insteadr = 0 means no linear relationship. Points on y = x2 for x = −2, −1, 0, 1, 2 have r = 0 but follow a clear curve.

The correlation coefficient only measures straight-line patterns. Plot the data to see other shapes.

✗ Mistaker = 0.8, so the slope of the best-fit line is 0.8.
✓ InsteadThe slope depends on the units of the data; r does not. Two data sets can both have r = 0.8 with slopes of 2 and 50.

r describes how tightly points cluster around the line, not how steep the line is.

Not to be confused with

Correlation Coefficientvs.Correlation

Correlation is the relationship itself (positive, negative or none). The correlation coefficient is the number that measures it, such as r = 0.91.

Correlation Coefficientvs.Slope

Slope tells how much y changes per unit of x and has units; r tells how well a line fits, with no units, and is always between −1 and 1.

Correlation Coefficientvs.Coefficient of determination

r2 is the square of r: with r = −0.9, r2 = 0.81. It is never negative and gives the share of variation explained.

Quick check: 3 questions

Question 1 of 3

Which value could NOT be a correlation coefficient?

Show answer and explanation

Answer: C. r is always between −1 and 1, so 1.2 is impossible. −0.99 is a very strong negative correlation, 0 is no linear pattern, and 0.45 is moderate positive.

Question 2 of 3

As outdoor temperature rises, heating bills fall, and the points lie close to a line. Which r fits best?

Show answer and explanation

Answer: B. One variable goes up as the other goes down, so r is negative, and points close to a line make it near −1. 0.92 has the wrong sign, and −0.15 and 0 describe weak or no patterns.

Question 3 of 3

A data set has r = −0.6. What is r2?

Show answer and explanation

Answer: D. (−0.6)2 = 0.36: squaring a negative gives a positive. −0.36 kept the sign, 1.2 doubled instead of squaring, and 0.6 only dropped the sign.

Correlation Coefficient: frequently asked questions

What is a good correlation coefficient?

It depends on the field, but a common rule of thumb is that |r| of 0.7 or more is strong, 0.3 to 0.7 is moderate, and below 0.3 is weak. In physics, data often have r above 0.99; in social science, 0.5 can be notable. Strong does not mean useful or causal, so always look at the scatter plot and the context.

Can the correlation coefficient be greater than 1?

No. The formula guarantees −1 ≤ r ≤ 1. It reaches exactly 1 or −1 only when every point lies on one straight line that is not horizontal. If a calculation gives a value outside that range, there is an arithmetic error, often a missing square root in the denominator.

What is the difference between r and r squared?

r shows direction and strength of a linear relationship and can be negative. r2, the coefficient of determination, is always between 0 and 1 and tells what fraction of the variation in y the line explains. With r = 0.7, r2 = 0.49, so about 49% of the variation is explained by x.

Practice and tools

Sources

  1. Common Core State Standards, High School Statistics: Interpreting Categorical and Quantitative Data (HSS-ID.C.8)
  2. OpenStax, Introductory Statistics 2e, 12.3 The Regression Equation
  3. OpenStax, Introductory Statistics 2e, 12.2 Scatter Plots

Updated November 2026·Reviewed by the Effortless Math team·Standards: CCSS HSS-ID.C.8

Cite this entry

Effortless Math Team. “Correlation Coefficient.” Effortless Math Dictionary. Updated November 2026. https://www.effortlessmath.com/math-dictionary/correlation-coefficient/

Flashcard

TermCorrelation Coefficient−1 ≤ r ≤ 1
DefinitionA number from -1 to 1 measuring how well points fit a line. Sign gives direction; size gives strength. r = −0.95: strong, falling.
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