I just need help answer question B, you don't have to answer question A. Thank you so much

ECN140 Final 2019 Winter 2. In this question, we are interested in the effect of completed schooling years on wages. We use a panel dataset about 707 young women, surveyed in 1970 and 1980.' We use the following two variables: wage. and grade. The variable wage is the wages (divided by the GNP deflator). The variable grade is the current grade completed (i.e., the years of completed education). (a) (10 points) Use the observations with year = 1970. Consider log(wage) = An + Bigrade + Angrade? + u and E[u | grade] = 0. Consider the claim that the effect of grade is zero. Based on the following Stata outputs with some blank entries, write down the test statistic and the critical value. What is the conclusion of the test? In this question, use the significant level a = 5%. gen In_wage = log (wage) gen grade_8q = grade*2 summarize In_wage grade if year == 70 Variable | Obe Mean Std. Dev. Min Max In_wage 707 1. 50342 4092185 .0240972 2. 683358 grade 707 11. 94201 1. 88952 18 tab year interview year Freq. Percent Cum 70 1 707 50.00 50.00 80 707 50.00 100.00 Total | 1, 414 100.00 reg In_wage grade grade_aq if year == 70 Source | df MS Number of obs II F (2, 704) Model 18. 7151068 2 9.35755342 Prob > F Residual 99. 5115005 704 . 141351563 R-squared Adj R-squared Total | 118.226607 6 . 167459784 Root MSE In_wage | Coef. Std. Err. P>Itl [95% Conf. Interval] grade -.0033106 . 0341627 grade_8q 0038525 . 0014723 _cons 9798049 2040265 This dataset is an extract from National Longitudinal Survey., which consists of women 14-26 years of age in 1968. Page 3ECN140 Final 219 Winter {b) (10 points) Use the observations with gear = 1970, Consider log{wage) = Ay + Bigrade + fagrade + u and Efu | erecs] = 1. Consider the claim that the effect of grade on log{wage) becomes larger as the number of grade becomes larger. Based on the above Stata outputs with some blank entries, write down the test statistic and the critical value. What is the conclusion of the test? In this question, use the significant level o = 5%