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Comment by rwilson4

In the hard sciences, it's often possible to isolate the phenomenon of interest away from any other influencing factors, e.g. in a laboratory. But many phenomena, like social interactions, or even agriculture, are difficult to isolate in this way. Randomization provides another way of "zooming in" on the treatment of interest.

In the example you gave, a test is going to have very low power because of the important factor with huge variance. If that factor is observed, you can create pairs of units with that factor identical within the pair, then randomly assign treatment to one unit in each pair.

parent rwilson4 2 years ago

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