Respuesta :
The correct option (B) no; mortgage interest rate x and number of new houses built per month y is not positively correlated.
Explain the term positive correlation?
- Two variables which tend usually trend in the same direction are said to have a positive correlation.
- Whenever one variable prefers to go down as the other goes down and whenever one variable tends to go up as the other goes up, there is a positive connection.
- Correlations are a term used in finance to indicate how the movement of specific equities relates to the overall market.
For the stated question.
regression line: y = 140 - 31.5x
In which,
x% = mortgage interest rate
y = number of new houses built per month
From the stated regression line equation, as the value of x increases thus, the corresponding value of y decreases.
Thus, mortgage interest rate x and number of new houses built per month y is not positively correlated.
To know more about the positive correlation, here
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