Cosa significa una covarianza negativa?
Risposta:
La covarianza negativa indica che il movimento in una variabile è opposto al movimento dell'altra variabile.
Spiegazione:
If X is moving upwards, Y is moving downwards
if X is moving downwards, Y is moving upwards.
. For example, when price is high, demand is less and when price is less, demand is more.
Here, the movement in the two variables are of opposite direction.
On the other hand, the more you prepare, the better your grade in the exam. Here both the variables move in the same direction.