Correlation &
Causation
Learn to interpret patterns in data, describe correlations qualitatively, and understand why correlation does not imply causation.
What is Correlation?
Correlation describes a relationship between two variables. When one variable changes, the other tends to change in a predictable pattern. We can observe correlation by looking at scatter plots: points that form a pattern suggest the variables are correlated.
Three Types of Correlation
Why Does This Matter?
Every day, people use data to make decisions: doctors choosing treatments, businesses launching products, governments setting policies. If we confuse correlation with causation, we can make costly or even dangerous mistakes.
What is Causation?
Causation means one event directly produces another event. There is a clear mechanism: changing variable \( A \) makes variable \( B \) change. Causation is much harder to prove than correlation.
The Golden Rule
Just because two variables move together does not mean one causes the other. There could be a hidden third variable, pure coincidence, or a reversed cause-and-effect relationship.
Why Correlation Fails as Proof
Correlation vs Causation
| Correlation | Causation | |
|---|---|---|
| Definition | Two variables move together | One variable directly causes the other |
| Proof needed | Observe a pattern in data | Controlled experiment or mechanism |
| Direction | No direction implied | Clear: A causes B |
| Example | Ice cream sales and drownings rise together | Studying more leads to higher test scores |
| Strength | Weak to strong pattern | Direct mechanism exists |
How to Tell Them Apart
Example 1: Ice Cream & Drownings
Example 2: Study Hours & Scores
Example 3: Spurious Correlation
Data shows a strong positive correlation between the number of movies Nicolas Cage appeared in per year and the number of people who drowned in swimming pools. This is a real data pattern!
Strength of Correlation
Correlations can be strong or weak. A strong correlation means points cluster tightly around the trend line. A weak correlation means points are spread out, with only a slight pattern.
Reading Scatter Plots
Common Mistakes to Avoid
Summary Cheat Sheet
| Concept | Key Idea | Language to Use |
|---|---|---|
| Positive Correlation | Both variables increase together | "As X increases, Y tends to increase" |
| Negative Correlation | One increases while the other decreases | "As X increases, Y tends to decrease" |
| No Correlation | No pattern between variables | "X and Y show no relationship" |
| Causation | One variable directly causes the other | "X causes Y" (only with evidence) |
| Lurking Variable | Hidden factor drives both variables | "A third factor may explain both" |
Question 1 of 5
A study finds that cities with more fire stations also have more fires. What is the best explanation?
Question 2 of 5
A scatter plot shows that as temperature increases, lemonade sales increase. The points cluster tightly around an upward trend line. How would you describe this?
Question 3 of 5
Which of the following is the best example of causation?
Question 4 of 5
Data shows that as the number of hours of sleep increases, the number of mistakes on a test decreases. What type of correlation is this?
Question 5 of 5
A news headline reads: "People who eat breakfast earn higher salaries." A classmate says, "So eating breakfast makes you richer!" What is wrong with this reasoning?