Question 1 Usıng a sample of 1801 black individuals, the following eamings equation has been estimated: 7.059 + 0.147educ + 0.049experience – 0.201female (.007) In(earnings) (.135) (.008) (.036) R² = 0.179; n = 1801 Where the standard errors are reported in parenthesis. a. Interpret the coefficient estimate on female. In answering parts b. – c., you must write down (i) the null and the alternative hypothesis; (ii) the test statistic; (iii) the rejection rule. b. Test the hypothesis that there is no difference in expected earnings between black women and black men. Test the hypothesis against a two-sided alternative, using a 5% significance level. c. Dropping experience and female from the equation gives: 6.703 + 0.151educ In(earnings) (.182) (.012) R2 = 0.179; n = 1801 Are experience and female jointly significant in the original equation at the 5% significant level?
Question 1 Usıng a sample of 1801 black individuals, the following eamings equation has been estimated: 7.059 + 0.147educ + 0.049experience – 0.201female (.007) In(earnings) (.135) (.008) (.036) R² = 0.179; n = 1801 Where the standard errors are reported in parenthesis. a. Interpret the coefficient estimate on female. In answering parts b. – c., you must write down (i) the null and the alternative hypothesis; (ii) the test statistic; (iii) the rejection rule. b. Test the hypothesis that there is no difference in expected earnings between black women and black men. Test the hypothesis against a two-sided alternative, using a 5% significance level. c. Dropping experience and female from the equation gives: 6.703 + 0.151educ In(earnings) (.182) (.012) R2 = 0.179; n = 1801 Are experience and female jointly significant in the original equation at the 5% significant level?
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.1: Measures Of Center
Problem 14PPS
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Transcribed Image Text:Question 1
Usıng a sample of 1801 black individuals, the following eamings equation has been estimated:
7.059 + 0.147educ + 0.049experience – 0.201female
(.007)
In(earnings)
(.135)
(.008)
(.036)
R² = 0.179;
n = 1801
Where the standard errors are reported in parenthesis.
a. Interpret the coefficient estimate on female.
In answering parts b. – c., you must write down (i) the null and the alternative hypothesis; (ii) the
test statistic; (iii) the rejection rule.
b. Test the hypothesis that there is no difference in expected earnings between black women
and black men. Test the hypothesis against a two-sided alternative, using a 5%
significance level.
c. Dropping experience and female from the equation gives:
6.703 + 0.151educ
In(earnings)
(.182)
(.012)
R2 = 0.179;
n = 1801
Are experience and female jointly significant in the original equation at the 5%
significant level?
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