\begin{Schunk}
\begin{Sinput}
 b0 <- 3; b1 <- 0.25; stde <- 10
 y <- b0 + b1 * x + stde*e1
 rx <- range(x)
 ry <- range(y)
 mod <- lm(y~x)
 plot(y ~ x, type="p", xlab="x: the IV", ylab="y: the DV")
 text(.93*rx[2],ry[1],pos=3, paste("Cov[x,y]=",round(cov(x,y),2),"\n r=",round(cor(x,y),2)))
 abline(mod, col="gray80")
\end{Sinput}
\end{Schunk}
