Variables tanf: Total cash TANF benefits in 2001 (in thousand dollars) hours: Total hours of work in the previous year, computed as reported weeks of work times usual hours per week white: 1 if race = white, 0 otherwise black: 1 if race = black, 0 otherwise Thus, we exclude races other than white or black. e du1: 1 if the educational attainment = high school dropout or less, 0 otherwise edu2: 1 if the educational attainment = high school graduates with no college, 0 otherwise edu3: 1 if the educational attainment = some college but no Bacherlors degree, 0 otherwise Thus, we exclude those whose educational attainment is at least BA degree age: Age in years urban1: 1 if lives in central cities, 0 otherwise urban2: 1 if lives in other urban areas, 0 otherwise urban3: 1 if lives in rural areas, 0 otherwise Here, we exclude those whose urban status is unclear or unidentifiable.

1. Draw a table showing the descriptive statistics of the variables. Read and explain the averages of the variables. 2. Draw a scatter diagram of labor supply against welfare benefit. What do you see in the diagram? 3. Draw histograms of the welfare benefit, labor supply, and age. Explain the diagrams.

1. Draw a table showing the descriptive statistics of the variables. Read and explain the averages of the variables. 2. Draw a scatter diagram of labor supply against welfare benefit. What do you see in the diagram? 3. Draw histograms of the welfare benefit, labor supply, and age. Explain the diagrams.1. Draw a table showing the descriptive statistics of the variables. Read and explain the averages of the variables. 2. Draw a scatter diagram of labor supply against welfare benefit. What do you see in the diagram? 3. Draw histograms of the welfare benefit, labor supply, and age. Explain the diagrams.1. Draw a table showing the descriptive statistics of the variables. Read and explain the averages of the variables. 2. Draw a scatter diagram of labor supply against welfare benefit. What do you see in the diagram? 3. Draw histograms of the welfare benefit, labor supply, and age. Explain the diagrams.