Econ3951 Major Project Seminar

Text: Stock & Watson, "Introduction to Econometrics

1. I have data for a survey of men on 1) their height in inches and 2) the fraction of Tinder swipes that resulted in a match. I have also controlled for race, and there are four races: black, white, Asian, and Hispanic. Results are shown in the table below.

Variable MatchRate_i

Height .00562*** (.0118)

Black_i .0143 (.0169)

White_i .0477*** (.0203)

Asian_i -.0608*** (.0345)

Intercept_i .230*** (.451)

N 10000

R-squared .433

a) Interpret the coefficient for Height_i. Your answer should address 1) is the relationship between height and match rate positive or negative and 2) what does the number mean.

b) Why is one racial category omitted?

c) Calculate the predicted Tinder success rate for a 70-inch-tall White man.

d) Calculate the predicted Tinder success rate for a 70-inch-tall Hispanic man.

e) Do you think this regression will have a reverse causality problem? Why or why not?

f) Your friend tells you, "The coefficient on Black_i isn't statistically significant, so we know for sure that being black has no effect on your Tinder success rate." Is your friend correct? Why or why not?