What Is Omitted Variable Bias? Why Is It a Problem

question 21

Essay

What is omitted variable bias? Why is it a problem? How do you try to prevent it? Explain.

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Definitions:

Manipulated

Altered, controlled, or handled skillfully, often with the implication of unfairness or deceit.

Optimism

A mental attitude characterized by hope and confidence in success and a positive future.

Placebo

A harmless pill, medicine, or procedure prescribed more for the psychological benefit to the patient than for any physiological effect.

Dependent Variable

The variable in an experiment that is expected to change in response to manipulations of the independent variable.