Confounding Variables in Scholarship Studies
To illustrate a common problem in establishing causality, consider a study on the effect of merit-based scholarships on future income. A simple comparison between the earnings of scholarship recipients and non-recipients can be misleading. This is because students who earn the scholarship likely possess higher inherent ability, a factor that itself contributes to higher future wages. This 'higher ability' is a confounding variable, making it difficult to isolate the true impact of the scholarship from the pre-existing advantages of the students who receive it.
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Economics
Introduction to Microeconomics Course
The Economy 2.0 Microeconomics @ CORE Econ
Ch.5 The rules of the game: Who gets what and why - The Economy 2.0 Microeconomics @ CORE Econ
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Complexity of Economic Systems and Causal Claims
Limitations of Conventional Experiments in Economics
The Scientific Standard for Establishing Causality: Controlled Experiments
Methodology of Controlled Economic Experiments: Isolating Variables
Learn After
Discontinuity Design for a Merit Scholarship
A researcher conducts a study to measure the impact of joining a competitive debate team on students' final grades in their government class. The study finds that students who voluntarily joined the debate team had significantly higher final grades than students who did not. The researcher concludes that participation in debate directly causes academic improvement in government class. Which statement best analyzes the primary flaw in this conclusion?
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A study observes that towns with a higher number of firefighters per capita also tend to have more property damage from fires. Based on this strong positive correlation, the most logical conclusion is that having more firefighters on staff leads to an increase in fire-related property damage.
Each 'Study Finding' below describes a correlation between two variables that might be mistaken for a direct causal link. Match each finding to the most likely 'Hidden Factor' that explains the relationship.
A study observes that individuals who regularly attend the gym have a lower incidence of a specific chronic illness compared to those who do not. However, it's possible that people who choose to go to the gym are also more likely to have healthier diets, and this dietary difference could be the real reason for their better health outcomes. In this analysis, the 'healthier diet' is an example of a(n) ___________ variable, making it difficult to determine the true health benefit of gym attendance alone.
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