1. In subSaharan Africa, many families cannot aord to send their kids to high school because the cost of doing so is very high. You are interested in the effect of providing scholarships on high school enrollment. You are involved with an organization which gives out 300 scholarships to a randomly selected subset of children. The organization also follows up with 300 randomly chosen control children who do not get scholarships. The scholarships were given out for the 2005 school year, to kids graduating from 8th grade in 2004. You run a regression of attendance in 2005 on whether a kid was given a scholarship as follows: attendanceEOOE' = ,60 + lscholarshipi + 5,- where attemian09,2005 is a variable equal to 1 if the kid was in secondary school in 2005 and 0 otherwise, and scholarship, is a variable equal to 1 if the kid got a scholarship and 0 otherwise. 5,; is an error term You get [30 = 0.23 and 61 = 0.58. The standard error for 60 is 0.14 and the standard error for 61 is 0.23. (a) What is the probability that a kid that got a scholarship was in secondary school in 2005? What about a kid that didn't get a scholarship? (b) Did the scholarships increase school attendance? Be concise but Specic. (c) Another organization in another country wants to try this out themselves. How ever, they only have enough money to give out 50 scholarships. When they run their regression, they get 60 = 0.25 and 51 = 0.61, with standard errors of 0.20 and 0.41. What do you make of their estimates? Would you say that the program worked or not