Story, Dale Department of Political Science University of Texas at Arlington CORRELATION COEFFICIENT The Correlation Coefficient may also be referred to as or symbolized by Pearson product-moment correlation coefficient, Pearson correlation coefficient, r, R, or Pearson's r. It is a measure of the strength of an association between two continuous variables. The range is from -1 to +1. A Correlation Coefficient of -1 is a perfect inverse relationship. A Correlation Coefficient of +1 is a perfect direct (positive) relationship. A Correlation Coefficient of 0 is a perfect “non-relationship.” The sign (- or +) simply describes the slope or direction of the relationship (inverse or positive). For example, a Correlation Coefficient of -0.5 is just as “strong” as one of +0.5. The greater the absolute value of a Correlation Coefficient , the stronger the relationship. Negative and positive coefficients simply have different slopes. Since Correlation Coefficients are measures of association, they need to be interpreted in comparison to other Correlation Coefficients. For example, if the Correlation Coefficient between GDP and a Press Freedom scale from 1-100 is +0.3; and if the Correlation Coefficient between GDP per capita and the same Press Freedom scale is +0.5—the latter relationship is stronger—or GDP per capita is a better predictor of Press Freedom than GDP. Here is an example of output of a Correlation Coefficient between Population (1989) and Percent Urbanization (1989). SPSS will always produce a matrix, though only one value is the Correlation Coefficient between the two variables. Actually, you will find this same value in two cells—but they are both the correlation between the two variables. The other two cells are the correlation between the variable and itself, which will always be? The Correlation Coefficient between Population and Percent Urbanization from the table below is 0.359. Correlations Percent Urbanization, Population, 1989 Population, 1989 Pearson Correlation 1 Sig. (2-tailed) N Percent Urbanization, 1989 Pearson Correlation Sig. (2-tailed) N 1989 .359 .131 19 19 .359 1 .131 19 19