In: Statistics and Probability
A financial magazine conducted a survey. It showed that a person with more years of education tends to have a higher salary. What is likely true?
Answer: There is a correlation between years of education and salary. There may or may not be causation. Further studies would have to be done to determine this.
A grocery store collected sales data. It found that a change in price does not imply that people will buy more or less milk. What can we determine from this information?
Answer: There is no correlation between price and amount of milk bought.
Ms. Ross studied her students' math test scores and TV habits. She found that students who watched less TV tended to earn higher scores on the test. What conclusion should she make?
Answer: There is a correlation between test score and amount of TV watched. There may or may not be causation. Further studies would have to be done to determine this.
Question:
A financial magazine conducted a survey. It showed that a person with more years of education tends to have a higher salary. What is likely true?
Answer: There is a correlation between years of education and salary. There may or may not be causation. Further studies would have to be done to determine this. Correlation does not imply causation. Just because the 2 variables: (i) years of education and (ii) salary., we cannot conclude that years of education causes salary.bcause there can be a third confounding ariable, such as employment opportunity prevelant at that time which affects both these variables.
Question:
A grocery store collected sales data. It found that a change in price does not imply that people will buy more or less milk. What can we determine from this information?
Answer: There is no correlation between price and amount of milk bought because absence of causation implies absence of correlation. Here it is given: a change in price does not imply that people will buy more or less milk.. So, we conclude: There is no correlation between price and amount of milk bought.
Question:
Ms. Ross studied her students' math test scores and TV habits. She found that students who watched less TV tended to earn higher scores on the test. What conclusion should she make?
Answer: There is an inverse correlation between test score and amount of TV watched. There may or may not be causation. Further studies would have to be done to determine this. Correation does not imply causation. Just because the 2 variables: (i) test score and (ii) amount of TV watched are correlated, we cannot conclude that high test score is caused by less amount of TV watched because the student may be really brilliant or the test is so easy that irrespective of amount of TV warched,th student may get high score in the test.