1. Based on a smaple of 100 couples with young babies, Jack considers a probit model for couples' decisions on whether going to a restaurant to celebrate wedding anniversary. Variables are defined as: Y INCOME BABYSIT = 1 if the couple went to a restaurant the couple's annual income in thousands of dollars = 1 if the couple needed a baby-sitter for babies The proposed probit model is Y = (1 + 2 INCOME; + 3 BABY SIT) + ei where is the probit function (cumulative density function of the standard normal distribution). The estiamted coefficients are: Independent Variables CONSTANT INCOME BABY SIT Coefficient Estimates 0.50 0.02 -0.40 The CDF of the standard normal distribution is attached and its PDF is listed in the following table: Probablilty density function (PDF) of the standard normal distribution 0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00 0.31 0.29 0.27 0.24 (z) 0.40 0.40 0.39 0.38 0.37 0.35 0.33 1.10 1.20 0.22 0.19