Question

The higher the population variance....

-the higher the correlation coefficient.

-the less predictable a future value chosen from the population.

-none of the other answers are correct.

-the lower the standard deviation.

-the more predictable a future value chosen from the population.

Answer 1

The higher the population variance...

- the less predictable a future value chosen from the population.

This is so because the future prediction interval depends on the population variance. If population variance is high then the interval width will be larger. So our prediction would be less accurate when the population variance is high.

The higher the population variance the closer to 0 the correlation coefficient, because the standard deviation of population is a denominator term in correlation coefficient.

The higher the population variance, higher is the standard deviation because standard deviation is the root of variance.