LECTURE 7: CONCEPT OF

RELATIONSHIP IN
RESEARCH

A. K. SHARMA
THEORETICALLY WE ARE INTERESTED
IN CAUSAL RELATIONSHIPS

• But what we have are empirical, i.e. data based

relationships between variables
• As measured by our scales of varying reliability and
validity
• And data are collected from different sources
• At different levels of relationships
MOST OF THE TIME WE TALK OF LINEAR
RELATIONSHIPS

• In the real world relationships are not linear – linearity is only

a model or ideal type
• If the assumption of linearity fails conclusions of most
researches would fail
• Understanding linear relationship is only a beginning of theory
and research
• Improved understanding would produce better models
 WHAT IS A LINEAR RELATIONSHIP

• From one variable to another, i.e. the explanatory or

independent variable x to dependent or response variable y
• Recursive
• Fixed change in y for a fixed change in x, irrespective of the values of
x
• dy/dx = c
• Often no limits of x or y are assumed
IN REAL LIFE

• Relationships may be non-recursive, reciprocal or cyclical

• Implicated into a web of relationships
• Direct, indirect, influenced by mediators, moderators
• Interactive
• Curvilinear, trigonometric, logarithmic etc.
NON-RECURSIVE, RECIPROCAL OR
CYCLICAL

• Both x and y affect

each other or are two
aspects of the same
characteristic
• Feedback cycle in
cybernetics
PSEUDO RELATIONSHIPS

• Empirical but not causal

• They show because of the effect of some other variable on x or y or
both or on the relationship itself
• They can be explained by estimating partial and part correlations
• The relationship between income and parity is pseudo that arises
due to effect of education on both
PSEUDO RELATIONSHIP
CURVILINEAR

• y=a+bx+cx2+dx3
• Powers depend on number
of points of inflection
LOGARITHMIC RELATIONSHIPS: Y=A + B. LOGX
MORE ON LOGARITHMIC RELATIONSHIPS
TRIGONOMETRIC RELATIONSHIP IN THE REAL WORLD: FOR Y = A.SIN (X)

If this can
happen to
waves why
not to
business
problems
TWO OR MORE CAUSES

• y=b0+b1x1+b2x2
• What about other influences/causes or error
(e)
• Interaction: y=b0+b1x1+b2x2+b3x1.x2
ADJUSTED R-SQUARE

• If you increase the number of IVs the R-square will

increase
• But is parsimony not a value
• Can we adjust R-square to number of variables or
degrees of freedom
• Yes, and we get adjusted R-square
FORMULA
ALL RELATIONSHIPS ARE NOT
DETERMINISTIC

• Deterministic: laws of motion, such as Newton’s

laws of motion, v= u + a.t or F= m.a
• Stochastic – probability of stroke or heart attack
depends on the blood pressure
YOU CANNOT OBSERVE ALL IDEAS
DIRECTLY
• Constructs and hidden factors
• Formative and reflective constructs (often)
implicated with variables
• Researches in business/management use Structural
Equation Modelling (SEM)
TWO TYPES OF CONSTRUCTS
DISCRIMINANT ANALYSIS

• Takes care of differences

between two sets of
factors
• Make the linear
combinations of them
which discriminate best
CANONICAL RELATIONSHIP
THANK YOU!