In a model with a potential causal variable c, an outcome variable d and an instrument e, for instrumental variables estimation to return the true causal effect of c on d , the instrument e must
a) be a determinant of d
b) be uncorrelated with c
c) only affect d through its effect on c
d) be strongly correlated with any unobservable factors
Variable refers to the changes or something that is not static in nature. It keeps on changing from time to time or with the increase or decrease of other important factors. For example, wages are variable and rent is fixed.
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from High School Biology: Tutoring SolutionChapter 1 / Lesson 9