Descriptive Statistics and Correlation (Pearson’s r) – Specfic Example with Age and Income

The following graphs should visualise the context of correlation and descriptive statstics, using an easy to understand example data. The example data includes 10 frequencies (first order statistics), with ages and incomes (x and y) as well as the multiplication and sums respectively (circled red, green, blue). When working with data it is important to contextualise and visualise the problem, in order to understand and disect it more easily.

The above graph makes it easily comprehendible why the age and income of the dataset positively correlate, nearly perfect correlation.

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