Types of Correlation MCQs
Types of Correlation – MCQs with Answers & Explanations
Class: 11th |
Subject: Economics (Statistics for Economics) |
Section: Correlation |
Topic: Types of Correlation
Board: CBSE Board Examinations
Board: CBSE Board Examinations
These Multiple Choice Questions (MCQs) are designed strictly as per the NCERT syllabus, making them ideal for CBSE Class 11 Board Examination preparation. Each question includes a detailed explanation to help clear concepts effectively.
1. Correlation refers to the study of:
Answer: B
Correlation measures the degree and direction of relationship between two or more variables. It shows how changes in one variable affect another.
Correlation measures the degree and direction of relationship between two or more variables. It shows how changes in one variable affect another.
2. When two variables move in the same direction, it is called:
Answer: C
In positive correlation, both variables increase or decrease together. Example: Income and Consumption.
In positive correlation, both variables increase or decrease together. Example: Income and Consumption.
3. An increase in price leading to a decrease in demand indicates:
Answer: B
Negative correlation occurs when variables move in opposite directions. Price and demand is a classic example.
Negative correlation occurs when variables move in opposite directions. Price and demand is a classic example.
4. If there is no relationship between variables, it is:
Answer: B
Zero correlation means changes in one variable do not affect the other.
Zero correlation means changes in one variable do not affect the other.
5. Perfect positive correlation coefficient value is:
Answer: C
+1 indicates perfect positive correlation where variables move exactly together.
+1 indicates perfect positive correlation where variables move exactly together.
6. Perfect negative correlation coefficient value is:
Answer: B
–1 indicates perfect negative correlation where variables move exactly opposite.
–1 indicates perfect negative correlation where variables move exactly opposite.
7. Correlation measured in a straight line is:
Answer: A
Linear correlation means change in variables follows a constant rate forming a straight line.
Linear correlation means change in variables follows a constant rate forming a straight line.
8. Curvilinear relationship is also called:
Answer: B
When the rate of change is not constant and forms a curve, it is non‑linear correlation.
When the rate of change is not constant and forms a curve, it is non‑linear correlation.
9. Example of positive correlation:
Answer: A
As height increases, weight generally increases — showing positive correlation.
As height increases, weight generally increases — showing positive correlation.
10. Example of negative correlation:
Answer: B
When price rises, demand falls — indicating inverse relationship.
When price rises, demand falls — indicating inverse relationship.
11. Correlation coefficient always lies between:
Answer: B
The value of correlation coefficient ranges from –1 to +1.
The value of correlation coefficient ranges from –1 to +1.
12. If r = 0, the correlation is:
Answer: D
r = 0 indicates no relationship between variables.
r = 0 indicates no relationship between variables.
13. Scatter diagram showing points upward indicates:
Answer: B
Upward trend shows both variables increasing together.
Upward trend shows both variables increasing together.
14. Downward scatter points indicate:
Answer: B
Downward slope shows inverse relationship.
Downward slope shows inverse relationship.
15. Correlation based on direction is:
Answer: B
Directional classification includes positive and negative correlation.
Directional classification includes positive and negative correlation.
16. Correlation among three or more variables:
Answer: C
Multiple correlation studies more than two variables simultaneously.
Multiple correlation studies more than two variables simultaneously.
17. Correlation between two variables only:
Answer: C
Simple correlation involves only two variables.
Simple correlation involves only two variables.
18. Correlation while keeping other variables constant:
Answer: A
Partial correlation measures relationship between two variables while controlling others.
Partial correlation measures relationship between two variables while controlling others.
19. Perfect correlation occurs when points lie:
Answer: B
All points lie exactly on a straight line in perfect correlation.
All points lie exactly on a straight line in perfect correlation.
20. Which is NOT a type of correlation?
Answer: C
Tabular is a method of data presentation, not a type of correlation.
Tabular is a method of data presentation, not a type of correlation.