Interpreting Graphs, Correlation, Causation, and Omitted Variables

1. Reading and Understanding Graphs / Interpreting Graphs, Correlation, Causation, and Omitted Variables / Problem 4

Problem 4

Which statement is true about correlation?

It implies a cause-and-effect relationship.

It is always stronger than causation.

It is the same as causation.

It allows for the prediction of outcomes.