Wednesday 31 May 2017

Correlation means Causation

  • Debate the following statement: “Correlation means Causation.” Determine whether this statement is true or false, and provide reasoning for your determination, using the Possible Relationships Between Variables table from your textbook.
  • Biddle and Hamermesh (1990) built a multiple regression model to study the tradeoff between time spent in sleeping and working and to look at other factors affecting sleep:

Sleep = β0 + β1 totwrk + β2 educ + β3 age + ε

where sleep and totwrk (total work) are measured in minutes per week and educ and age are measured in years. Suppose the following equation is estimated:

Sleep = 3500 – 0.15 totwrk – 11.20 educ + 2.29 age + ε

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