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Causal Mediation Analysis Made Simple

Uncover the hidden pathways in your data. Analyze direct and indirect effects, test mediation hypotheses, and understand causal mechanisms with AI-powered statistical analysis.


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Ever wondered if that training program actually improved performance, or if it just made employees feel more confident, which then boosted their results? That's the essence of causal mediation analysis – understanding not just whether X causes Y, but how it happens.

Mediation analysis helps you peek inside the black box of causation. It reveals the mechanisms, the intermediate steps, the hidden pathways that connect cause to effect. And with Sourcetable's AI-powered analysis tools, you can perform sophisticated mediation studies without drowning in statistical software complexity.

Understanding Causal Mediation

Think of mediation analysis as detective work for data scientists. You're not just asking "Did the treatment work?" You're asking "How did the treatment work?"

Consider a simple example: Does exercise improve mood? The direct effect might be small, but exercise could improve mood by:

  • Increasing endorphin levels (biochemical pathway)
  • Improving sleep quality (physiological pathway)
  • Building self-confidence (psychological pathway)
  • Creating social connections (social pathway)

Each pathway represents a different mediator – a variable that sits between your treatment (exercise) and outcome (mood), potentially explaining part of the causal relationship.

Why Mediation Analysis Matters

Mechanism Discovery

Identify the 'how' behind causal relationships. Understand which pathways drive your effects and which are just statistical noise.

Targeted Interventions

Design more effective interventions by targeting the right mediators. Why shoot in the dark when you can aim for the mechanism?

Effect Decomposition

Separate direct effects from indirect effects. Understand how much of your total effect flows through each pathway.

Hypothesis Testing

Test specific theories about causal mechanisms. Transform hunches into statistically rigorous insights.

Policy Insights

Make evidence-based recommendations about where to focus resources for maximum impact.

Confounding Control

Account for alternative explanations and strengthen causal inference through proper mediation modeling.

Mediation Analysis in Action

πŸ“Š Business Performance Study

A technology company implemented a new management training program and saw 15% higher team productivity. But was it the training itself, or something else?

The mediation analysis revealed:

  • Direct effect: Training β†’ Productivity (2% increase)
  • Indirect effect via communication: Training β†’ Better Communication β†’ Productivity (8% increase)
  • Indirect effect via employee satisfaction: Training β†’ Higher Satisfaction β†’ Productivity (5% increase)

The training worked primarily by improving communication and job satisfaction, not by directly teaching productivity skills. This insight led to redesigning the program to focus more on communication techniques.

πŸ₯ Healthcare Intervention Analysis

A wellness program reduced employee sick days by 30%. The mediation analysis uncovered multiple pathways:

  • Stress reduction pathway: Program β†’ Lower Stress β†’ Fewer Sick Days (40% of effect)
  • Health behavior pathway: Program β†’ Better Diet/Exercise β†’ Fewer Sick Days (35% of effect)
  • Social support pathway: Program β†’ Stronger Peer Relationships β†’ Fewer Sick Days (25% of effect)

Understanding these pathways helped the organization invest more in stress management workshops and peer support groups.

πŸ“ˆ Marketing Campaign Analysis

An e-commerce company's email campaign increased sales by 12%. The mediation analysis showed:

  • Awareness pathway: Email β†’ Brand Awareness β†’ Sales (20% of effect)
  • Urgency pathway: Email β†’ Perceived Urgency β†’ Sales (60% of effect)
  • Trust pathway: Email β†’ Brand Trust β†’ Sales (20% of effect)

The urgency-creating elements (limited-time offers, countdown timers) were the primary drivers. This led to redesigning campaigns with stronger urgency cues.

Mediation Analysis Steps in Sourcetable

Ready to Explore Your Causal Pathways?

When to Use Mediation Analysis

Advanced Mediation Techniques

πŸ”„ Multiple Mediator Models

Real-world causation rarely flows through single pathways. Sourcetable handles complex mediation models with multiple mediators operating in parallel or sequence.

Parallel mediation: Multiple independent pathways from X to Y
Serial mediation: Mediators affecting each other in sequence
Moderated mediation: Mediation effects that vary across groups or conditions

πŸ“ Causal Mediation with Confounders

Traditional mediation analysis can be biased by unmeasured confounders. Sourcetable implements robust causal mediation methods that account for:

  • Treatment-mediator confounding
  • Mediator-outcome confounding
  • Treatment-outcome confounding

🎯 Sensitivity Analysis

How robust are your mediation findings? Sourcetable provides automated sensitivity analysis to test how your results change under different assumptions about unmeasured confounding.

πŸ“Š Bootstrapped Confidence Intervals

Get reliable confidence intervals for indirect effects using bootstrap methods. No more relying on potentially invalid normal theory assumptions.


Frequently Asked Questions

What's the difference between moderation and mediation?

Mediation asks 'how' or 'why' an effect occurs by identifying intermediate variables. Moderation asks 'when' or 'for whom' an effect occurs by identifying conditions that strengthen or weaken the relationship. Think of mediation as exploring the process, moderation as exploring the conditions.

Can I do mediation analysis with observational data?

Yes, but with important caveats. Mediation analysis with observational data requires strong assumptions about no unmeasured confounding. Sourcetable helps you assess these assumptions and provides sensitivity analysis to test robustness of your findings.

How many observations do I need for mediation analysis?

It depends on effect sizes and model complexity, but generally you need at least 100-200 observations for basic mediation models. For multiple mediator models or small effects, you may need 500+ observations. Sourcetable provides power analysis to help you determine adequate sample sizes.

What if my mediator and outcome are measured at the same time?

This creates challenges for causal inference since you can't establish temporal precedence. While statistical mediation is still possible, causal mediation requires either longitudinal data or strong theoretical justification for the causal ordering.

Can mediation analysis handle non-linear relationships?

Absolutely. Sourcetable supports non-linear mediation models including polynomial terms, interaction effects, and non-parametric approaches. The AI can automatically detect and model non-linear patterns in your mediation pathways.

How do I interpret indirect effects?

Indirect effects represent the amount of change in your outcome that occurs through the mediator pathway. For example, if your indirect effect is 0.3, it means that for each unit increase in your treatment, the outcome increases by 0.3 units through the mediation pathway.

What's the Baron and Kenny approach and why don't we use it?

The Baron and Kenny approach required the treatment to significantly affect the outcome before testing mediation. Modern approaches recognize that mediation can occur even without a significant total effect (suppression effects), and focus on testing the indirect effect directly using bootstrap methods.



Frequently Asked Questions

If you question is not covered here, you can contact our team.

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How do I analyze data?
To analyze spreadsheet data, just upload a file and start asking questions. Sourcetable's AI can answer questions and do work for you. You can also take manual control, leveraging all the formulas and features you expect from Excel, Google Sheets or Python.
What data sources are supported?
We currently support a variety of data file formats including spreadsheets (.xls, .xlsx, .csv), tabular data (.tsv), JSON, and database data (MySQL, PostgreSQL, MongoDB). We also support application data, and most plain text data.
What data science tools are available?
Sourcetable's AI analyzes and cleans data without you having to write code. Use Python, SQL, NumPy, Pandas, SciPy, Scikit-learn, StatsModels, Matplotlib, Plotly, and Seaborn.
Can I analyze spreadsheets with multiple tabs?
Yes! Sourcetable's AI makes intelligent decisions on what spreadsheet data is being referred to in the chat. This is helpful for tasks like cross-tab VLOOKUPs. If you prefer more control, you can also refer to specific tabs by name.
Can I generate data visualizations?
Yes! It's very easy to generate clean-looking data visualizations using Sourcetable. Simply prompt the AI to create a chart or graph. All visualizations are downloadable and can be exported as interactive embeds.
What is the maximum file size?
Sourcetable supports files up to 10GB in size. Larger file limits are available upon request. For best AI performance on large datasets, make use of pivots and summaries.
Is this free?
Yes! Sourcetable's spreadsheet is free to use, just like Google Sheets. AI features have a daily usage limit. Users can upgrade to the pro plan for more credits.
Is there a discount for students, professors, or teachers?
Currently, Sourcetable is free for students and faculty, courtesy of free credits from OpenAI and Anthropic. Once those are exhausted, we will skip to a 50% discount plan.
Is Sourcetable programmable?
Yes. Regular spreadsheet users have full A1 formula-style referencing at their disposal. Advanced users can make use of Sourcetable's SQL editor and GUI, or ask our AI to write code for you.




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