4. You are an economist studying the gender wage gap. You have a set of data with information on individuals' wages, education, hours worked, occupations and genders. (a) You run the following regression: earnings = a + B * female? +e . What is the interpretation of 8 from this regression? Make an argument that 3 is an inappropriate measure of the gender wage gap. Make an argument that 8 is an appro- priate measure of the gender wage gap. (b) You run the following regression: earnings = a + 8 . female? + y * education +6 . What is the interpretation of & from this regression? What would it mean if @ from this regression were smaller than the regression from part a? What about larger? In the real world, do you expect / to be larger or smaller in part b than part a?D Question 15 0.67 pts From Practice Problem 4a/b: In the near future, the average number of years on education in the U.S. will likely be higher for women than men. Assuming this is true, and assuming that the B coefficient from part a is negative, should the / coefficient in part b be larger or smaller (in absolute value) than the coefficient in part a? O they should be the same O larger impossible to tell smaller