It is negative correlation coefficient, \( r<0 \), when the scatter plot shows a visible falling trend. FALSE TRUE
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Absolutely TRUE! A negative correlation coefficient, represented as \( r < 0 \), indicates that as one variable increases, the other tends to decrease. In a scatter plot, this manifests as a descending or falling trend, where points cluster around a line that slopes downwards from left to right. So, if you're seeing that visual dip—bam!—you've got yourself a negative correlation. For real-world applications, think about economics: when unemployment rates rise, consumer spending usually declines. This negative correlation helps businesses gauge potential downturns and adjust strategies accordingly. Whether it’s market predictions or interpreting data trends, understanding these relationships can steer you in the right direction!
