Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Suzanne is a content marketer, writer, and fact-checker. She holds a ...

You can calculate the correlation coefficient to find the correlation between any two variables, whether they are market indicators, stocks, or anything else that can be tracked numerically.

In economics, correlations are common. But identifying whether the correlation between two or more variables represents a causal relationship is rarely so easy. Countries that trade more with the rest ...

Confidence ellipses can also serve as visual indicators of correlations. The confidence ellipse collapses diagonally as the correlation between two variables approaches 1 or -1. The confidence ellipse ...

He believes that the type of firm may affect this relationship and suspects that there may be some interaction between the size and type of firm. The dummy variable in the model allows the two firms ...