This video explains how to interpret scatter plots by calculating the rate of change on the graph. Learn how to find the slope or rate of change by choosing two points on the line and determining the vertical and horizontal distances. This concept is then applied to two different scatter plots, one showing the relationship between homework assignments completed and test scores, and the other depicting the relationship between hours of watching TV and test scores. They conclude that completing homework assignments positively affects test scores, while watching TV negatively impacts them.