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Scientific Principles

Experiments Over Correlational Methods

Randomized experiments can separate a treatment’s effects from differences between people who choose different treatments. Nisbett argues for using experiments where feasible; natural experiments can also help when their assignment process supports a credible comparison.

THE IDEA

Inquiry is fatal to certainty. —Will Durant, philosopher

Institutions increasingly rely on experiments to provide them with information. That’s a good thing, because if you can do an experiment to answer a question, it’s nearly always going to be better than correlational techniques. The correlational technique known as multiple regression is used frequently in medical and social science research. This technique essentially correlates many independent (or predictor) variables simultaneously with a given dependent variable (outcome or output). It asks, “Net of the effects of all the other variables, what is the effect of variable A on the dependent variable?” Despite its popularity, the technique is inherently weak and often yields misleading results. The problem is due to self-selection. If we don’t assign cases to a particular treatment, the cases may differ in any number of ways that could be causing them to differ along some dimension related to the dependent variable. We can know that the answer given by a multiple regression analysis is wrong because randomized control experiments, frequently referred to as the gold standard of research techniques, may give answers that are quite different from those obtained by multiple regression analysis. Even when assignment to condition is not literally random, we can sometimes find “natural experiments.” These can occur when there happen to be groups of cases (people, agricultural plots, cities) that differ in interesting ways with respect to an independent variable, and there is no reason to assume that membership in the group is biased in some way that would prevent us from comparing the groups with respect to some dependent variable. Society pays dearly for the experiments it could have conducted but didn’t. Hundreds of thousands of people have died, millions of crimes have been committed, and billions of dollars have been wasted because people have bulled ahead on their assumptions and created interventions without testing them before they were put into place. When it’s human beings we’re studying, there’s a temptation to rely on verbal reports. Those reports are subject to a wide variety of errors. If we can possibly measure actual behavior rather than verbal reports, we’re more likely to get a correct answer to a research question. You can do experiments on yourself that will provide much more accurate answers about what affects your health and well-being than casual observation can produce.

When to use it

  • Evaluating the effectiveness of a new medical treatment before widespread adoption.

  • Testing a policy change in a company (e.g., a new performance incentive) by piloting it in a subset of teams.

  • Assessing the impact of a public health intervention (e.g., smoking ban) by comparing outcomes in regions that implemented it vs. those that didn't.

FROM THEORY TO EVERYDAY LIFE

In practice

01

Drug efficacy trial

A randomized controlled trial randomly assigns patients to receive a new drug or a placebo, then measures outcomes. This eliminates self-selection bias that would occur in an observational study where patients choose their treatment.

02

Natural experiment in education

When a school district shifts to a new teaching method only in some schools due to an administrative change, researchers can compare outcomes between the changed and unchanged schools, assuming no other systematic differences between the groups.

✳

A MOMENT TO REFLECT

Put it to work.

  1. Why are randomized experiments considered the 'gold standard' for establishing causality?

  2. What is self-selection bias and how does it undermine correlational methods like multiple regression?

  3. Can you think of a real-world situation where a natural experiment could be used instead of a randomized trial?

Connected ideas

Another lens can bring the same problem into focus.

Often confused with

CONTINUE THE CONVERSATION

Source texts

  • Mindware Tools for Smart Thinking (Richard E. Nisbett)
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