Question

Properties of Rank Correlation Coefficient.

Answer 1

• The minimum value of rank correlation coefficient is -1 and maximum value is 1. Thus, -1 ≤r ≤ 1.
• If ranks of variables X and Y are equal, i.e., Rx = Ry, then r = 1, which shows perfect positive linear correlation between X and Y.
• If ranks of variables X and Y are mutually reverse, then r = – 1 which shows perfect negative linear correlation between X and Y.
• When the values of two variables X and Y are some arrangement of first n natural numbers, the correlation coefficient obtained by Karl Pearson’s method and Spearman’s method are equal.