# MCQs for Economics Class 11 with Answers Chapter 7 Correlation

Students of class 11 Economics should refer to MCQ Questions Class 11 Economics Correlation with answers provided here which is an important chapter in Class 11 Economics NCERT textbook. These MCQ for Class 11 Economics with Answers have been prepared based on the latest CBSE and NCERT syllabus and examination guidelines for Class 11 Economics. The following MCQs can help you to practice and get better marks in the upcoming class 11 Economics examination

**Chapter 7 Correlation MCQ with Answers Class 11 Economics**

MCQ Questions Class 11 Economics Correlation provided below have been prepared by expert teachers of grade 11. These objective questions with solutions are expected to come in the upcoming Standard 11 examinations. Learn the below provided MCQ questions to get better marks in examinations.

**Question. A scatter diagram:**

(a; Is a statistical test

(b) Must be linear

(c) Must be curvilinear

(d) Is a graph of x and y values

## Answer

D

**Question. Maximum value of rank correlation coefficient is:**

(a) 0

(b) +1

(c) -1

(d) None of these

## Answer

B

**Question. When two variables change in the same direction, then such a correlation is called:**

(a) negative

(b) positive

(c) no correlation

(d) all of these

## Answer

B

**Question. Rank correlation is a superior method of analysis in case of ____ distribution.**

(a) qualitative

(b) quantitative

(c) frequency

(d) none of these

## Answer

A

**Question. When the relation of three or more variables is studied simultaneously, it is called:**

(a) simple correlation

(b) partial correlation

(c) multiple correlation

(d) none of these

## Answer

C

**Question. Relation between price and demand is:**

(a) positive

(b) negative

(c) one to one

(d) no relationship

## Answer

B

**Question. Which of the following equations is correct?**

(a) 𝑟𝑘=1−6𝛴𝐷2𝑁

(b) 𝑟𝑘=1−6𝛴𝐷2𝑁2−𝑁

(c) 𝑟𝑘=1−6𝛴𝐷2𝑁3−𝑁

(d) 𝑟𝑘=1−6𝛴𝐷2𝑁4−𝑁

## Answer

C

**Question. When r = 1, all the points in a scatter diagram would lie:**

(a) On a straight line directed from lower left to upper right

(b) On a straight line

(c) On a straight line directed from upper left to lower right

(d) Both (a) and (b)

## Answer

A

**Question. In a ‘negative’ relationship**

(a) As x increases, y increases

(b) As x decreases, y decreases

(c) As x increases, y decreases

(d) Both (a) and (b)

## Answer

C

**Question. Formula of Karl Pearson ‘ s coefficient of correlation is:**

(a) 𝑁𝜎𝑋𝜎𝑌/Σ𝑥𝑦

(b) Σ𝑥𝑦/𝑁𝜎𝑥𝜎𝑌

(c) 𝜎X𝜎Y/Σ𝑥𝑦

(d) 𝛴𝑥𝑦/𝜎𝑋𝜎𝑌

## Answer

B

**Question. The correlation coefficient will be -1 if the slope of the straight line in a scatter diagram is:**

(a) Positive

(b) Negative

(c) Zero

(d) None of these

## Answer

B

**Question. Kari Pearson’s coefficient is defined from:**

(a) Ungrouped data

(b) Grouped data

(c) Both (a) and (b)

(d) None of these

## Answer

D

**Question. There is a high degree of negative correlation between ‘overweight’ and ‘life expectancy’. A correlation coefficient consistent with the above statement is:**

(a) r = 0.80

(b)r = 0.20

(c) r = -0.20

(d) r = -0.80

## Answer

A

**Question. Scatter diagram helps us to:**

(a) Find the nature of correlation between two variables

(b) Obtain the mathematical relationship between two variables

(c) Compute the extent of correlation between two variables

(d) Both (a) and (c)

## Answer

A

**Question. Simple correlation is called:**

(a) linear correlation

(b) Nonlinear correlation

(c) Both (a) and (b)

(d) None of these

## Answer

A

**Question. The correlation between shoe-size and intelligence is:**

(a) Zero

(b) Negative

(c) Positive

(d) None of these

## Answer

A

**Question. When two variables change in a constant proportion, it is called:**

(a) linear correlation

(b) non-linear correlation

(c) partial correlation

(d) none of these

## Answer

A

**Question. If the relationship between x and y is positive, as variable y decreases, variable x:**

(a) Increases

(b) Decreases

(c) Remains same

(d) Changes linearly

## Answer

B

**Question. The lowest strength of association is reflected by which of the following correlation coefficients?**

(a) 0.95

(b) – 0.60

(c) -0.35

(d) 0.29

## Answer

A

**Question. The highest strength of association is reflected by which of the following correlation coefficients?**

(a) -1.0

(b) -0.95

(c) 0.1

(d) 0.85

## Answer

A

**Question. The correlation between sale of cold drinks and day temperature is:**

(a) Positive

(b) Negative

(c) Zero

(d) None of these

## Answer

A

**Question. What are the limits of the correlation coefficient?**

(a) -1 and 1

(b) No limit

(c) 0 and 1, including the limits

(d) -1 and 1, including the limits

## Answer

D

**Question. If all the plotted points in a scatter diagram lie on a single line, then the correlation is:**

(a) Perfect positive

(b) Perfect negative

(c) Both (a) and (b)

(d) Either (a) or (b)

## Answer

D

**Question. Correlation coefficient is dependent on the choice of both origin and the scale of observations,**

(a) True

(b) False

(c) Both (a) and (b)

(d) none of these

## Answer

B

**Question. Correlation coefficient is __________ of the units of measurement.**

(a) Independent

(b) Dependent

(c) Both (a) and (b)

(d) None of these

## Answer

D

**Question. If r is the correlation coefficients between the two variables, then:**

(a) -1 ≤ r ≤ 0

(b) 1≤ r ≤ 2

(c) -1 ≤ r ≤ 1

(d) 0 ≤ r ≤ 1

## Answer

C

**Question. When coefficient of correlation lies between +0.25 and + 0.75, it is called:**

(a) perfect degree of correlation

(b) high degree of correlation

(c) moderate degree of correlation

(d) low degree of correlation

## Answer

C

**Question. Coefficient of correlation lies always between:**

(a) 0 and +1

(b) -1 and 0

(c)-1 and+1

(d) none of these

## Answer

C

**Question. There is a high direct association between measures of ‘cigarette smoking’ and ‘lung damage’. The correlation coefficient consistent with the above statement is:**

(a) 1

(b) Any value

(c) – 1

(d) (b) or (c)

## Answer

A

**Question. The correlation between ages of husbands and wives is:**

(a) Positive

(b) Negative

(c) Zero

(d) None of these

## Answer

B

**Question. For finding the degree of agreement about beauty between two judges in a beauty contest, we use:**

(a) Coefficient of correlation

(b) Coefficient of rank correlation

(c) Scatter diagram

(d) Coefficient of concurrent deviation

## Answer

B

**Question. The correlation between sale of woolen garments and day temperature is:**

(a) Positive

(b) Negative

(c) Zero

(d) None of these

## Answer

B

We hope the above multiple choice questions for Class 11 Economics for Chapter 7 Correlation provided above with answers based on the latest syllabus and examination guidelines issued by CBSE, NCERT and KVS are really useful for you. Correlation is an important chapter in Class 11 as it provides very strong understanding about this topic. Students should go through the answers provided for the MCQs after they have themselves solved the questions. All MCQs have been provided with four options for the students to solve. These questions are really useful for benefit of class 11 students. Please go through these and let us know if you have any feedback in the comments section.