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We might worry that there is something unobserved about the counties that is common in all of the districts within them. After all, Kern County
We might worry that there is something unobserved about the counties that is common in all of the districts within them. After all, Kern County is a rural, agricultural county, Los Angeles is urban and highly populated, and Sonoma is wealthy and largely high-wealth rural (it is California "wine country"). (a) (10 points) Run a regression of read on income, english, and studentTeacherRatio, but also include terms that control for anything that is common within all observations in a county - that is, include variables that account for county-level unobserved heterogeneity in read. Make sure you use heteroskedasticity-robust errors in your output
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