We discussed in the lecture about a study in Sydney that finds
that a 1% increase in humidity is associated with a 7.7% increase
in COVID-19 infections. Let's assume this finding is based on a
single linear regression. Suppose more humid suburbs are close to
the sea (e.g., Bondi) and are more crowded. Also, suppose
crowdedness can cause an increase in COVID-19 infections. Which of
the following is correct?
There is no omitted variable bias.
We can interpret the result from the study as a causal effect of
humidity on infections.
The study tends to overestimate the causal effect of humidity on
infections
The study tends to underestimate the causal effect of humidity
on infections
We discussed in the lecture about a study in Sydney that finds that a 1% increase in humidity is associated with a 7.7%
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