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What is the difference between observational

study and experiment in terms of statistics


terms?
Both studies involve observation, so don't let the titles fool you. The fundamental
difference is that an experiment requires you to observe what happens when you
make some sort of change. An observational study finds the relationship between
changes that already exist. It is the method used when it would be impractical or
unethical to cause the change yourself. Examples are studying the effects of
smoking on birth defect rates (unethical) or on what things do people spend over
$1000 when unexpectetedly given a large amount of money (impractical) But if you
actually had the money to give people and then found out what they spent it on
that would be an experiment.