Question
For this question, use benefit.dta You are employed as a data analyst by the Ministry of Social Development to investigate the following question, 'If your
For this question, use benefit.dta You are employed as a data analyst by the Ministry of Social Development to investigate the following question, 'If your parents received welfare while you were growing up, does this increase the likelihood that you will receive welfare?' In this application, you are to examine the possible intergenerational transmission of social welfare benefit receipt in New Zealand. The sample is a cross-sectional data at the individual-level. Description of the variables is provided below: - benkid. A dummy variable equal to one if the sampled individual was receiving a social welfare benefit at age 25 . - female is a dummy variable set to one if the individual was female - sc is a dummy equal to one if the individual completed school certificate (below high school), - hs is a dummy equal to one if the individual completed a high school qualification, - dipl is a dummy equal to one if the individual attained a post-school qualification other than a university degree - uni is a dummy equal to one if the individual attained any university degree) - finc is the mean real (ie. deflated) family income for the individual when he or she was between the ages of 1 and 14. - benprt measures the proportion of years in which one of the parents received a similar social welfare benefit when the individual was between the ages of 1 and 14 . (a) Based on the available variables, write down a regression model to answer the research question in italics above. Explain what control variables you would chose to include, and why.
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