1. A data scientist computes the Pearson correlation matrix for a 20-feature dataset and finds that features `A` and `B` have a Pearson coefficient of 0.05, but a Spearman rank correlation of 0.72. Which of the following BEST explains this discrepancy?
- A. The Spearman coefficient is always higher than Pearson for large datasets, so this is expected
- B. Features `A` and `B` likely have a strong monotonic but non-linear relationship, which Spearman captures but Pearson does not✓ Correct
- C. Pearson is unreliable for datasets with more than 15 features and should be replaced by Spearman in all EDA
- D. The data likely has a high percentage of missing values that are inflating the Spearman coefficient
Explanation
Pearson correlation measures only linear relationships between two variables. Spearman rank correlation measures the strength of any monotonic relationship (linear or non-linear) by operating on the ranks of the values. A low Pearson but high Spearman coefficient is a classic indicator that the two features have a strong monotonic but non-linear relationship (e.g., exponential or power-law). Spearman is not always higher than Pearson — this claim is false and reflects a misconception. Pearson's reliability is not related to the number of features in the dataset; it is always valid as a measure of linear association. Missing values do not inflate Spearman scores; both methods handle missing values similarly, and missing values would more likely reduce correlation estimates.