The effect of a lurking variable can be surprising when


Problem: Grade inflation and the SAT. The effect of a lurking variable can be surprising when individuals are divided into groups. In recent years, the mean SAT score of all high school seniors has increased. But the mean SAT score has decreased for students at each level of high school grades (A, B, C, and so on).

Requirement:

1. Explain how grade inflation in high school (the lurking variable) can account for this pattern.

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Basic Statistics: The effect of a lurking variable can be surprising when
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