Does Correlation Always Mean Causation?
Does Correlation Always Mean Causation? The Dangerous Illusion of Connection in a Data-Driven World When two things appear to move together, it can be tempting to assume one causes the other. But in the world of data, jumping to conclusions can lead us astray. Understanding the difference between correlation and causation is vital for clear thinking, whether you’re analyzing business trends, health data, or societal shifts. In this post, we unravel these commonly confused concepts, explore hidden variables, and look at how scientists and statisticians determine true causal links. What Is Correlation? Correlation refers to a statistical relationship between two variables. When one changes, the other tends to change in a predictable way. This can be positive (both increase or decrease together) or negative (one increases while the other decreases). Think of it like two people riding an escalator—they go up together, but not because one is pulling the other. T...