Question

Will cash bonuses speed the return to work of unemployed people? A state department of employment...

Will cash bonuses speed the return to work of unemployed people? A state department of employment security notes that last year 68% of people who filed claims for unemployment insurance found a new job within 15 weeks. As an experiment, the state offers $500 to people filing unemployment claims if they find a job within 15 weeks. The percent who do so increases to 77%.

Choose the right statement.

  • a) It can be surely said that the treatment caused the increase.
  • b) It can be surely said that the treatment didn't cause the increase.
  • b) Confounding with lurking variables makes it impossible to say whether the treatment really caused the increase.

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