Point Biserial Correlation
Channel: Thiyagu Suriya
Date: 10/07/2020

A point-biserial correlation coefficient (rpb)  is used to measure the strength and direction of the association that exists between one continuous variable (ratio or interval data) and one dichotomous variable (Binary variable: 0,1 (or) Nominal). The categories of the binary variable do not have a natural ordering. For example, the binary variable gender does not have a natural ordering. That is, it does not matter whether the males are coded as a zero or a one. Such variables are often referred to as nominal binary variables. It is assumed that the continuous data within each group created by the binary variable are normally distributed with equal variances and possibly different means.  This video explains the concept and computation part of point biserial correlation.