Positive and Negative Correlation

Positive Correlation

A correlation in the same direction is called a positive correlation. If one variable increases the other also increases and when one variable decreases the other also decreases. For example, the length of an iron bar will increase as the temperature increases.

Negative Correlation

Correlation in the opposite direction is called a negative correlation. Here if one variable increases the other decreases and vice versa. For example, the volume of gas will decrease as the pressure increases, or the demand for a particular commodity increases as the price of such commodity decreases.

No Correlation or Zero Correlation

If there is no relationship between the two variables such that the value of one variable changes and the other variable remains constant, it is called no or zero correlation.