In a study of the effect on earnings of education using panel data on annual earnings for

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In a study of the effect on earnings of education using panel data on annual earnings for a large number of workers, a researcher regresses earnings in a given year on age, education, union status, and the worker's earnings in the previous year, using fixed effects regression. Will this regression give reliable estimates of the effects of the regressors (age, education, union status, and previous year's earnings) on earnings? Explain.

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Introduction To Econometrics

ISBN: 9780134461991

4th Edition

Authors: James Stock, Mark Watson

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