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1.You estimate a hedonic wage regression W = 80 D + 4000 Ed + 1800 Exp - 25 Exp 2 + 5000 M whereD =

1.You estimate a hedonic wage regression

W = 80 D + 4000 Ed + 1800 Exp - 25 Exp2 + 5000 M

whereD = death rate per 100,000 for workers in the individual's occupation[10 points]

Ed = years of schooling for the individual

Exp = Experience = Age of the individual - Ed - 6

Exp2 = Experience squared

M = 1 for men, 0 for women

d.On average, how much does a 40 year old man with 12 years of schooling and a job with a death rate of 5 per 100,000 earn?How much does a similar woman earn?

W (40 yr. old man) = 5

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