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Understanding Correlation in ML Data

Understanding Correlation

Correlation measures the strength and direction of the relationship between two variables.

Correlation values range from:

  • +1 → Perfect positive relationship
  • 0 → No relationship
  • −1 → Perfect negative relationship

Positive Correlation

When one variable increases, the other tends to increase.

Negative Correlation

When one variable increases, the other tends to decrease.

Example

If property tax rates and accessibility increase together, they may show positive correlation.

If crime rates increase while house prices decrease, they may show negative correlation.

Correlation helps identify features that influence house prices.