https://communities.sas.com/t5/Statistical-Procedures/how-to-generate-3-independent-variables-that-correlate/m-p/49758#M2199 how do i create a simulation with n observations where the variables such as income, age, gender, etc have a specific r or correlation such as .5? Wed, 13 Apr 2011 18:24:16 GMT tammy 2011-04-13T18:24:16Z https://communities.sas.com/t5/Statistical-Procedures/how-to-generate-3-independent-variables-that-correlate/m-p/49758#M2199 how do i create a simulation with n observations where the variables such as income, age, gender, etc have a specific r or correlation such as .5? Wed, 13 Apr 2011 18:24:16 GMT https://communities.sas.com/t5/Statistical-Procedures/how-to-generate-3-independent-variables-that-correlate/m-p/49758#M2199 tammy 2011-04-13T18:24:16Z https://communities.sas.com/t5/Statistical-Procedures/how-to-generate-3-independent-variables-that-correlate/m-p/49759#M2200 I think the title of your request is misleading since you don't seem to want <I>independent </I>variables generated. It is easy to use PROC IML to generate correlated normal variables. Google searches will show lots of examples. There is a whole chapter in the IML documentation on simulating values of different distributions. If you want to avoid IML, the new procedure SIMNORMAL should work fine. You can either input a covariance matrix directly, or take one from a PROC CORR run, and then generate as many values as you want. I have not used SIMNORMAL yet. Thu, 14 Apr 2011 13:20:29 GMT https://communities.sas.com/t5/Statistical-Procedures/how-to-generate-3-independent-variables-that-correlate/m-p/49759#M2200 lvm 2011-04-14T13:20:29Z