Measuring a price change you cannot A/B test

Causal inferenceHard

Problem. Netflix raises the Standard price in one country. You cannot randomize price across users. How do you estimate the causal effect on revenue and churn?

Before you reveal: say your answer out loud, as if you were in the real interview — get your reasoning across clearly first. There is no single correct answer: reading what the interviewer is really after and defending your own thinking is what makes an answer strong.

Interview tips

Strong-answer signal: reaching for synthetic control with placebo inference, checking the pre-period match, and reading churn across renewal cycles before netting against ARM. Common trap: a pure pre/post comparison with no control, confounding the price change with everything else that month.

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