Not sure how to answer this please help

[James Smithson]

Ihave been given a question with no context and its the fact there is no context that is confusing me I don't know an answer just given this detail. Is it just me or is there a way to answer it

Suppose that USA exports to all countries halved due to a production crisis, while imports remained at the same level. Will the correlation between the resulting export and import values become half of the original correlation value? Explain your answer.

 

[Deleted member 4993]

Ihave been given a question with no context and its the fact there is no context that is confusing me I don't know an answer just given this detail. Is it just me or is there a way to answer it

Suppose that USA exports to all countries halved due to a production crisis, while imports remained at the same level. Will the correlation between the resulting export and import values become half of the original correlation value? Explain your answer.

Please ask the "question-giver" about the context! It is important. Why that "question-giver" is not asking the question directly, in this forum?

Please ask the "question-giver" - according to his/her text-book/class notes:

What is the definition of "correlation value"?​

Instead of telling us:

Explain your answer

the "question-giver" should explain his/her question!!

 

[Cubist]

Instead of telling us Explain your answer

the "question-giver" should explain his/her question!!

I suspect that "Explain your answer" is part of the original question, and not a command for the helpers on this site. I think they said that because they are expecting an essay type of response. OP, It's an opportunity for you to show your knowledge of correlation and discuss what might happen in this unlikely scenario.

Like Subhotosh suggests, I'd start by writing the definition of correlation. Then, the rest depends on what you have been taught. Maybe try to discuss a possible scenario that could result in the exports halving. And if this happened would the export levels fluctuate at the same time as the import levels. How would this compare to the normal situation? If you have been taught a mathematical model of the economy that could be used to predict correlation levels, then perhaps quote it and plug some reasonable numbers in. In other words, show what you have been taught. You can judge how much to write by how many marks are being awarded for the question.