The outlier problem: The problem with outliers is that they make your findings weaker. Not surprisingly, the way researchers respond to outliers is by ridding themselves of the source of the trouble. Removing outliers, though, is a dangerous game; it opens the door to bias, since outliers that don’t fit your priors are quick to be removed, but outliers that do fit your priors are maintained. In fact, if you view your job in business and investing as dealing with crises, you can argue that it is the outliers you should be paying the most attention to, not the data that neatly fits your
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