MPC 06 December 2022 Partial Correlation (Marks 3)

 Partial Correlation (rp)

Partial correlation, calculates the correlation between two variables while excluding the effect of a third variable. Two variables, X and Y, are closely related. The correlation between them is partialled out, or controlled for the influence of one or more variables is called as partial correlation. So when it is assumed that some other variable is influencing the correlation between X and Y, then the influence of this variable(s) is partialled out for both X and Y. Hence it can be considered as a correlation between two sets of residuals. Correlation between X and Y is partialled out for Z can be represented as  which is read as correlation between X and Y partialled out for Z. The correlation between X and Y can be partialled out for more variables as well

Formula 



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