Answered step by step
Verified Expert Solution
Question
1 Approved Answer
0.2. Use the data htv from the Wooldridge package in R to answer this question. The data set includes information on wages, education, parents' education,
0.2. Use the data "htv\" from the \"Wooldridge\" package in R to answer this question. The data set includes information on wages, education, parents' education, and several other variables for 1,230 working men in 1991. (i) Estimate the regression model educ = Bo + lmotheduc + zfatheduc + gabil + 4abi12 + u by OLS and report the results in the equation form. How much sample variation in educ is explained? Interpret the coefficient on motheduc. (1 mark) (ii) Find the value of abil, call it abil*, where educ is minimized, holding other factors fixed. (1 mark) (iii) Test the null hypothesis that educ is linearly related to abil against the alternative that the relationship is quadratic. (1 mark) (iv) Test H0: 51 = [32 against a two-sided alternative. (1 mark) (v) Add the two college tuition variables tuit17 and tuit18 to the regression and determine whether they are jointly statistically significant. (1 mark)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started