Question

A state conducts a study that shows strong negative correlation between residents' life expectancy and number of breweries within 2 miles of the residents. The state concludes that if they mandate a decrease in the number of breweries life expectancy will go up. Select all true statements and explain why.

A. The state's conclusion is correct as long as the correlation measures strong linear association with no distorting outliers.

B. We can use this study to conclude that proximity to breweries causes life expectancy to decrease.

C. There may be a lurking variable that explains this association.

D. As long as the study was done on random and independent residents, and shows strong negative correlation with no distorting outliers, we can conclude that there is an association between life expectancy and proximity to breweries.

Answer 1

Correct option:

C. There may be a lurking variable that explains this association.

Explanation:
Correlation does not imply causation. Just because strong negative correlation between residents' life expectancy and number of breweries within 2 miles of the residents, we cannot conclude that proximity to breweries causes life expectancy to decrease. In fact, the two variables: (i) proximity to breweries and (ii) life expectancy are not at all negatively correlated. There is a lurking variable that explains this association. : poor economic condition of the residents of the state which is correlated to both these variables: (i) proximity to breweries and (ii) life expectancy as follows. Just because of the poverty conditions, the residents are put into a lot mental tension to meet their daily needs. To forget their tension, they resort to drinking. Due to high demand, number of breweries come up in that area. Because these people are very poor, they are not able to maintain proper nourishment, which causes the residents die early.Thus, their life expectancy comes down.