Correlation conclusions II The correlation between Fuel Efficiency (as measured by miles per gallon) and Price of 150 cars at a large dealership is r = -0.34. Explain whether or not each of these possible conclusions is justified: a) The more you pay, the lower the fuel efficiency of your car will be. b) The form of the relationship between Fuel Efficiency and Price is moderately straight. c) There are several outliers that explain the low correlation. d) If we measure Fuel Efficiency in kilometers per liter instead of miles per gallon, the correlation will increase

Chapter 5 --- Randomness and Probability Spin a penny example in class: What is the probability of a headWhy Why is it calledan empirical probability Are spins independent If the first 10 spins are heads is the 11 spin more likely or less likely to be a head What does the “Law of Averages” say How does the Law of LargeNumbersapply to spinning pennies Random Predictability If time permits we will draw some random samples using a Red Bead box. The box is filled with white, red and black beads. We will drawrandom samples of 50 beads from the box and count the number of colored (red or black) beads. Each sample is random and we can’t predict how many colored beads there will be in the next sample. However we can predict a pattern