An observational method that studies people in their daily lives and activities in their homes, work, and communities is called:

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Ethnography involves observing people in their natural settings, such as their homes, workplaces, and communities, to gain a deep understanding of their behaviors, attitudes, and culture. It is a method used in anthropology, sociology, and psychology to gather detailed and qualitative data about a specific group of people. Focusing, hypothesizing, sampling, and panel research are not specific to studying people in their daily lives and activities in their natural settings, and do not involve the same level of immersion in the subjects' culture and environment as ethnography.

An Observational Method That Studies People in Their Daily Lives