Abstract #301919

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JSM 2003 Abstract #301919
Activity Number: 342
Type: Contributed
Date/Time: Wednesday, August 6, 2003 : 9:00 AM to 10:50 AM
Sponsor: Section on Survey Research Methods
Abstract - #301919
Title: Correlation Corrected for Range Restriction: An Improved Estimate Using Regression
Author(s): Wai Chan*+ and Oi-Man Kwok and Chan Ka-Wai
Companies: Chinese University of Hong Kong and Arizona State University and The Chinese University of Hong Kong
Address: Dept. of Psychology, Shatin, , , Hong Kong
Keywords: range restriction ; bias correction ; correlation
Abstract:

The standard Pearson correlation coefficient ® is known to underestimate the population correlation when the predictor and the criterion are subject to range restriciton. Correlation corrected for range restriction (rc) has been recommended. However, empirical evidence showed that the accuracy of the corrected correction (rc) varies across situations as it is sensitive to the size of the population correlation coefficient, the selection ratio, and the sample size. A Monte Carlo study was proposed to examine the effect of each of these factors on the accuracy (bias) of the corrected correlation. Regression analysis was carried out to identify the amount of bias under different model conditions. Based on this, a bias-corrected estimate, corrected for range restriction, can be formulated. A validation study was conducted to investigate the empirical performance of the proposed method. Results indicate that the bias-corrected estimate has satisfactory performance under various conditions.

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