The coefficient of determination is a key concept in statistics when assessing the predictive power of a relationship between two variables, such as fiber and potassium content in cereal. It is symbolized as \( r^2 \), where \( r \) is the correlation coefficient.
- The coefficient of determination is calculated by squaring the correlation coefficient \( r \).
- It provides the proportion of the variance in the dependent variable that is predictable from the independent variable.
- This value, expressed as a percentage, indicates how much of the variability in the outcome variable (in this case, potassium content) can be explained by the predictor variable (fiber content).
For instance, in this exercise, the coefficient of determination \( r^2 \) is calculated as \( (0.903)^2 = 0.815409 \), which means that approximately 81.54% of the variability in potassium content is accounted for by fiber content. The higher the \( r^2 \), the better the predictive power of the model.