18min chapter

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Nassim Taleb — Meditations on Extremistan

The Joe Walker Podcast

CHAPTER

Misinterpreting Correlation in Social Science

This chapter explores the common misconceptions surrounding correlation in social sciences, particularly the distinction between correlation and causation. It highlights the complexities introduced by nonlinear relationships and critiques the limitations of relying solely on correlation metrics. The discussion also includes the historical context of probability theory and the impact of statistical methods on decision-making and economic predictions.

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