# What Is the Difference Between the Correlation Coefficient & the Coefficient of Determination?

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The correlation coefficient and coefficient of determination are different in a few ways that you're going to want to know. Learn about the difference between the correlation coefficient and the coefficient of determination with help from a longtime mathematics educator in this free video clip.

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## Video Transcript

Hi, I'm Jimmy Chang, and we're here to talk about what is the different between a correlation coefficient and the coefficient of determination. Now they are actually very closely related to each other but there is a fundamental difference between the two. Now let's talk about the correlation coefficient first. Now the correlation coefficient is denoted by the letter R. Now, as you might imagine in statistics the correlation coefficient determines the strength and direction between the two variables, generally X and Y. Now, there is a pretty big formula and long formula associated with the correlation coefficient it's pretty much a number crunching formula. You just basically plug in the plug in chug, the X and Y values and you're going to go from there. Now but the bottom line is the correlation coefficient R determines strength and direction between the two variables and the relationship is going to be linear. Now, the coefficient of determination is denoted by R squared. So basically to find the coefficient of determination you are squaring the correlation coefficient. But what the coefficient of determination helps you to determine is the percentage of data that is closest to the best fit line. So in a sense, the coefficient of determination can you know kind of piggy backs off the correlation coefficient's data and then helps you make additional inferences from there. So, I'm Jimmy Chang and that addresses the question what is the question what is the difference between the correlation coefficient and the coefficient of determination.

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