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Use a 5% significance level and the following weekly earnings regression estimate to answer questions 9-12 [each worth 5 pts.] [Gender=0 for males; gender-1

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Use a 5% significance level and the following weekly earnings regression estimate to answer questions 9-12 [each worth 5 pts.] [Gender=0 for males; gender-1 for females; p values in []] Earnings 30+1'sex +20 education + 30*experience +40 hours [01] [07] R Square=..66 [.001] [.005] [.001] 2. [5] If education decreases by 4, what does predicted earnings change by? 3. [5] What proportion of the variation in earnings does the model explain? 4. [5] What is the predicted earnings for a man who has 16 years education, 20 years experience, works 40 hours? 5. [5] Do females earn the same as males? Do questions 5 and question 6 have the same answer? Why or why not?

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