Definition: Correlation is a statistical measure that quantifies the degree to which two variables are related or move together. It ranges from -1 to 1, where -1 indicates a perfect negative correlation, 1 indicates a perfect positive correlation, and 0 indicates no correlation.
Example: In business, you might analyze the correlation between employee training hours and productivity. A positive correlation suggests that more training hours are associated with higher productivity.
« Back to Glossary Index