# 10. Suppose that a worker's productivity at manufacturing firms (prod) depend:s ontwo factors, hours of training (train) and worker's efficiency:prod a+Btrain+ Prefficiency+uAssume that this equation satisfies the Gauss-Markov assumptions. IF less efficientworkers tend to be required to take on-job-training, what is the likely bias in theestimated coefficient of train £, from the simple regression of prod on train?

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8 views help_outlineImage Transcriptionclose10. Suppose that a worker's productivity at manufacturing firms (prod) depend:s on two factors, hours of training (train) and worker's efficiency: prod a+Btrain+ Prefficiency+u Assume that this equation satisfies the Gauss-Markov assumptions. IF less efficient workers tend to be required to take on-job-training, what is the likely bias in the estimated coefficient of train £, from the simple regression of prod on train? fullscreen
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According to the provided data, the equation satisfies the Gauss-Markov assumptions. If less efficient workers tend to be requi...

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