Causal Inference
Working out what would happen if you intervened, rather than what tends to occur together — the distinction that decides whether a model can support a decision.
When not to use it
- When you only need ranking or forecasting and no intervention follows, where predictive accuracy is the right target.
- As a claim of causality from observational data without stating the identifying assumptions.
Reach for something else instead
- Randomised experiments, which answer the question directly when feasible.
- Predictive modelling, when the decision does not involve changing anything.
- Sensitivity analysis, which bounds how strong unobserved confounding would need to be to overturn a finding.
Sources & further reading
- Pearl (2009), Causality: Models, Reasoning and Inference — the graphical framework and the do-operator.
- Caruana et al. (2015), Intelligible Models for HealthCare — the asthma and pneumonia case in detail.
- Angrist & Pischke (2008), Mostly Harmless Econometrics — the applied observational toolkit.
Primary sources, listed so you can check the claims on this page rather than take them on trust.
Where people go wrong
- Controlling for every available variable, which introduces collider bias rather than removing confounding.
- Treating a coefficient in a predictive regression as a causal effect.
- Assuming that more data resolves confounding. It narrows confidence intervals around a biased estimate.
At a glance
Where this sits
A destination. 3 concepts lead here, and nothing in the corpus depends on it.
Computed from the prerequisite graph, not assigned. How this works