Birdwatch Note Rating
2024-02-15 09:14:41 UTC - NOT_HELPFUL
Rated by Participant: F6FC04DD6BD3694C0D5099BEB1954FD5F38128FF50DFB8B25FC4ABE6606CCD05
Participant Details
Original Note:
The correlation is high mechanically because both series have a time trend. Therefore, there's no similarities between today an the great depression. The correlation should be calculated on the returns or detrended data. https://www.sciencedirect.com/topics/mathematics/spurious-correlation#:~:text=Spurious%20correlation%20is%20especially%20likely,with%20changes%20or%20percentage%20changes.
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