How do you output specific observations to a new dataset?

The OUTPUT statement is the correct answer because it is specifically designed to write observations to a new dataset in a DATA step. When you want to create a new dataset from existing data, you can conditionally specify which observations to include using the OUTPUT statement. This allows for granular control over the data being exported, such as filtering or choosing only certain records based on specific conditions.

For instance, when you use a DATA step to manipulate or analyze a dataset, you can use the OUTPUT statement to determine which observations to write to the new dataset. This includes the ability to write records that meet certain criteria, thereby enabling users to create customized datasets tailored to their needs.

The other options do not fulfill this purpose. The PUT statement is primarily used for writing data to an external file rather than creating a new dataset within a SAS program. Creating a new data step is a broad action and would not by itself output specific observations unless combined with appropriate statements like OUTPUT. The INFILE statement is used for reading data from an external file into a SAS dataset and is not involved in outputting specific observations to a new dataset.