The purpose of this paper is to describe an example of how to unconfound a
confounded statistical result and to present a recipe for unconfounding a
result. The confounded result is the conclusion that since African American
student loan borrowers are more likely to default on their student loans,
that "These results show that the U.S. Department of Education cannot
ignore the interaction of race and student loans". This paper shows that
student loan defaults are more (by about 5 times) associated with lower
median income status than race.
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