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Suppose that a researcher, using data on the number of years of education a person has received and their annual earnings from 200 individuals, estimates
Suppose that a researcher, using data on the number of years of education a person has received and their annual earnings from 200 individuals, estimates the OLS regression: Earnings = 39.74 + 1.58 Education, where Earnings is measured in thousands of dollars. If the number of years of education a person receives increases by three, on average, the annual earnings of the individual would by $ Note: Report answer in dollars. Suppose that Meghan wants to earn at least $68,000 annually and she has recently earned a Bachelor's degree in Economics, completing 16 years of education in total. She is considering whether she should pursue a Master's degree as well, which would involve studying for two more years. Which of the following statements is true? O A. She will not able to reach her income target even after spending two more years earning a Master's degree. O B. She could have reached her income target without a Bachelor's degree by receiving education for only 12 years. O C. She is able to reach her income target with her current level of education. O D. She will reach her income target once she spends two more years earning a Master's degree
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