Consider the following linear regression model explaining Wages by Education. wages = Bo+B Education + u (1) (i) Is the above model likely to accurately measure the returns to education? Explain. [2 marks] (ii) What conditions needs to be met so can be given a casual interpretation. [2 marks] (iii) Imagine you can dictate peoples education level. How would you design an experi- ment so gives a causal interpretation. [2 marks] (iv) Suppose the true model is: wages fo+ B Education + B Ability + u (2) Construct an expression for the bias of in (1). Argue if the bias is negative or positive. [2 marks] (v) OLS estimators satisfying CLM assumptions 1-5, are described as consistent and asymptotically normal. Describe what each means and how it occurs. [2 marks]