Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Q1. Use the following data set for the PS5: mars

Q1. Use the following data set for the PS5: mars <- read.csv("http://ryantgodwin.com/data/mars.csv") Using OLS, estimate the "returns to education". That is, estimate how much income increase (on average) due to an additional year of education. Interpret your estimates results. use R studio to get the dataset by pasting the code above.

Q2. Explain while the additional demographic variables (e.g. age, gender, height) are needed in the regression, even though you are only interested in "education". Comments on your estimated results. Do you found any differences with the calculated results for Q1?

Q3. Test the null hypothesis that the returns to education are zero. Comments on your findings?

Q4. Paste your R codes. Organize your codes so that other people outside the class can easily understand what you are trying to calculate/estimate.

(PLEASE PROVIDE ALL THE R CODES YOU USED SO THAT I CAN PRODUCE THE SAME OUTPUT).

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

A First Course in General Relativity

Authors: Bernard Schutz

2nd edition

521887054, 978-0521887052

More Books

Students also viewed these Mathematics questions

Question

All communication is manipulative in nature. Discuss.

Answered: 1 week ago