How Are Causation and Correlation Related?
How Are Causation and Correlation Related? Untangling the Knot: Why One Doesn’t Always Lead to the Other Frame the Question Causation and correlation are often confused in both casual conversations and professional analyses. Understanding how they’re related—and where they diverge—is foundational for clear thinking in business, science, and everyday life. While both describe relationships between variables, only causation implies a direct link of cause and effect. Confusing the two can lead to flawed conclusions, wasted resources, and missed opportunities. In this post, we’ll unpack their connection, highlight key differences, and show how to apply this insight across disciplines. Correlation: A Pattern Without a Cause Definition : Correlation is when two variables appear to move together—either in the same direction (positive) or opposite directions (negative). But that’s it. It tells you nothing about why that relationship exists. Examples : Shoe size and reading level (in children):...