Simpson’s – the Paradox! First Two Years Player Hits At bats A B 100 400 40 120 Second Two Years Player Hits At bats A B 400 100 80 10 Batting average Batting average First Two Years Player Hits At bats Batting average A B 100 400 .40 .30 40 120 Second Two Years Player Hits At bats Batting average A B 400 100 .20 .10 80 10 All Four Years Player Hits At bats Batting average A B 500 500 .24 .26 120 130 How does that happen? Simpson’s – the Paradox! Simpson’s paradox: occurs where a comparison can be reversed when more than one group is combined to form a single group. The effect of another variable, sometimes called a lurking variable, is masked when the groups are combined. If a/b > c/d and p/q > r/s, then ◦ it is true that a/b + p/q > c/d + r/s. ◦ it is not necessarily true that (a+p)/(b+q) > (c+r)/(d+s). Text Problems –Simpson’s Paradox – Excel
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