What are the applications of causal inference in real-world scenarios?

What are the applications of causal inference in real-world scenarios?

Causal inference is used in various fields like healthcare, economics, and social sciences to determine cause-and-effect relationships.

Can you give me an example in healthcare?

Sure! In healthcare, causal inference helps evaluate the effectiveness of a new drug by comparing outcomes between treated and untreated groups.

What about in economics?

In economics, causal inference can assess the impact of policy changes, like tax cuts, on economic growth by analyzing pre- and post-policy data.

Are there any challenges in applying causal inference?

Yes, challenges include dealing with confounding variables, ensuring data quality, and the complexity of modeling causal relationships.