  The two-point correlation function is computed for galaxies and groups of
galaxies selected using 3-dimensional information from the Updated Zwicky
Galaxy Catalog - (UZC). The redshift space distortion of the correlation
function $\xi(\sigma,\pi)$ in the directions parallel and perpendicular to the
line of sight, induced by pairwise group peculiar velocities is evaluated. Two
methods are used to characterize the pairwise velocity field of groups and
galaxies. The best fitting parameters are $\gamma=-1.89 \pm 0.17$ and $r_0=9.7
\pm 4.5$ $h^{-1}$ Mpc for groups, and $\gamma=-2.00 \pm 0.03$ and $r_0=5.29 \pm
0.21$ $h^{-1}$ Mpc for galaxies. We find $\beta_{gx}=0.51 \pm 0.15$ for
galaxies, while for groups we obtain a noisy estimate $\beta < 1.5$.
