Question

Discuss whether or not you agree with the following two statements and explain your answer:

i) “Lack of correlation is not equivalent to the lack of dependence between variables.”

ii) “Correlations can sometimes be ‘spurious’, and the existence of correlation does not imply that the variables are related in a causal way"

Answer 1

i) We should agree with this statement.That is "lack of correlation does not implies lack of dependence:

Reason: Correlation and dependency are synonymous term.But Correation measures only  linear dependecy between variables.Weak linear relationship may have other kind of strong assication.Because varibles may associated in other way  such as elliptically.

ii) agree

Explanation: correlation can be sometimes spurious.Spurious correlation apperas a causual relationship between variables but really they are not .

FOR EXAMPLE: Good boxers have better chance to pass examinations.