Consider the following case. The government aims to evaluate the impact of for- poor-students program (Bantuan Siswa Miskin) on students' test scores (out- come, Y). A researcher use the following regression specification to estimate the model: TestScore;= a + BBSM; +[Xį + €į where i indicates student and BSM is a binary variable with a value of 1 if student i's receives BSM.

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(look at the attached image) 1. What are the variables in the specification above? What are the parameters in the specification above? 2. Explain control variables that you can include in the vector X. Explain and intepret the parameter 3 in the regression specification above. What are the components that would most likely be in €? 3.Explain whether the specification uses a pre-post or a simple difference method? Discuss the counterfactual in the specification above. explain whether you would be able to estimate an unbiased estimate on the effect of BSM on students' test scores
Consider the following case. The government aims to evaluate the impact of for-
poor-students program (Bantuan Siswa Miskin) on students' test scores (out-
come, Y). A researcher use the following regression specification to estimate the
model:
Test Score; = a + BBSM; +[Xį + €į
where i indicates student and BSM is a binary variable with a value of 1 if
student i's receives BSM.
Transcribed Image Text:Consider the following case. The government aims to evaluate the impact of for- poor-students program (Bantuan Siswa Miskin) on students' test scores (out- come, Y). A researcher use the following regression specification to estimate the model: Test Score; = a + BBSM; +[Xį + €į where i indicates student and BSM is a binary variable with a value of 1 if student i's receives BSM.
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