Q1. Ron James, CFA, computed the correlation coefficient for historical oil prices and the occurrence of a leap year and has identified a statistically significant relationship. Specifically, the price of oil declined every fourth calendar year, all other factors held constant. James has most likely identified which of the following conditions in correlation analysis? A) Positive correlation. B) Spurious correlation. C) Outliers.
Q2. One major limitation of the correlation analysis of two random variables is when two variables are highly correlated, but no economic relationship exists. This condition most likely indicates the presence of: A) outliers. B) spurious correlation. C) nonlinear relationships.
Q3. One of the limitations of correlation analysis of two random variables is the presence of outliers, which can lead to which of the following erroneous assumptions? A) The presence of a nonlinear relationship between the two variables, when in fact, there is a linear relationship. B) The presence of a nonlinear relationship between the two variables, when in fact, there is no relationship whatsoever between the two variables. C) The absence of a relationship between the two variables, when in fact, there is a linear relationship.
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发表于 2009-1-5 09:45
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