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Direction of slope change when axes are swapped

Question

Three data points are (x,y)=(5,5)(x,y)=(5,5), (4,0)(4,0) and (6,10)(6,10). You fit yy on xx and record the slope, then fit xx on yy. Does the slope go up, stay the same or go down? Answer 11, 00 or −1-1 respectively.

Short answer

−1-1 (it falls). Both slopes share the covariance in the numerator but divide by the variance of the regressor. The yy values are far more spread out than the xx values, so the second slope is smaller (here 55 drops to 0.20.2).

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