QUESTION 4 The table below is used for Questions 4 and 5. It contains three estimated regressions, which were computed in 2007 using data on employees. The data set used for the regressions consisted of information on over 10,000 full-time, full-year workers. Employees were surveyed on their earnings and whether they had graduated high school or not. The data set also contains information on the region of the country where the person lived (North / East / South / West), and the individual's gender and age. For the purposes of this quiz: AHE = average hourly earnings Graduated high school (X1) = binary variable (1 if the employee graduated high school, O if they did not) Male (X2) = binary variable (1 if male, O if female) Age (X3) = age in years North (X4) = binary variable (1 if Region = North, 0 otherwise) South (X5) = binary variable (1 if Region = South, 0 otherwise) East (X6) = binary variable (1 if Region = East, 0 otherwise) Results of Regressions of Average Hourly Earnings on Gender and Education Binary Variables and Other Characteristics Using 2007 Data from the Current Population Survey Dependent variable: average hourly earnings (AHE). Regressor 1 3 0.373 (0.021) Graduated high school (X¡) 0.352 0.371 (0.021) (0.021) Male (X2) 0.451 (0.020) 0.458 0.457 (0.021) (0.020) Age (X3) 0.011 0.011 (0.001) (0.001) North (X4) 0.175 (0.37) South (Xs) 0.103 (0.033) East (X6) -0.102 (0.043) 12.84 (0.018) 12.471 (0.049) 12.390 (0.057) Intercept F-statistic for regional effects = 0 21.87 SER 1.026 1.023 1.020 R2 0.0710 0.0761 0.0814 10973 10973 10973 Using the regression results in column (1): Is the coefficient on "Graduated high school", estimated from this regression, statistically significant at the 5% level? The calculated test statistic is (two decimal places) Therefore, is the null hypothesis rejected at the 5% level of significance? (Type Yes or No)
QUESTION 4 The table below is used for Questions 4 and 5. It contains three estimated regressions, which were computed in 2007 using data on employees. The data set used for the regressions consisted of information on over 10,000 full-time, full-year workers. Employees were surveyed on their earnings and whether they had graduated high school or not. The data set also contains information on the region of the country where the person lived (North / East / South / West), and the individual's gender and age. For the purposes of this quiz: AHE = average hourly earnings Graduated high school (X1) = binary variable (1 if the employee graduated high school, O if they did not) Male (X2) = binary variable (1 if male, O if female) Age (X3) = age in years North (X4) = binary variable (1 if Region = North, 0 otherwise) South (X5) = binary variable (1 if Region = South, 0 otherwise) East (X6) = binary variable (1 if Region = East, 0 otherwise) Results of Regressions of Average Hourly Earnings on Gender and Education Binary Variables and Other Characteristics Using 2007 Data from the Current Population Survey Dependent variable: average hourly earnings (AHE). Regressor 1 3 0.373 (0.021) Graduated high school (X¡) 0.352 0.371 (0.021) (0.021) Male (X2) 0.451 (0.020) 0.458 0.457 (0.021) (0.020) Age (X3) 0.011 0.011 (0.001) (0.001) North (X4) 0.175 (0.37) South (Xs) 0.103 (0.033) East (X6) -0.102 (0.043) 12.84 (0.018) 12.471 (0.049) 12.390 (0.057) Intercept F-statistic for regional effects = 0 21.87 SER 1.026 1.023 1.020 R2 0.0710 0.0761 0.0814 10973 10973 10973 Using the regression results in column (1): Is the coefficient on "Graduated high school", estimated from this regression, statistically significant at the 5% level? The calculated test statistic is (two decimal places) Therefore, is the null hypothesis rejected at the 5% level of significance? (Type Yes or No)
Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter7: Distance And Approximation
Section7.3: Least Squares Approximation
Problem 31EQ
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Transcribed Image Text:QUESTION 5
Continue to use the regression results in column (1) from the table in Question 4.
Construct a 95% confidence interval for the coefficient on "Graduated high school".
Lower bound:
Upper bound:
Please report all answers in this question to four decimal places.
Transcribed Image Text:QUESTION 4
The table below is used for Questions 4 and 5.
It contains three estimated regressions, which were computed in 2007 using data on employees. The data set used for the regressions consisted of information on over 10,000 full-time, full-year
workers. Employees were surveyed on their earnings and whether they had graduated high school or not. The data set also contains information on the region of the country where the person lived (North / East
/ South / West), and the individual's gender and age.
For the purposes of this quiz:
AHE = average hourly earnings
Graduated high school (X1) = binary variable (1 if the employee graduated high school, 0 if they did not)
Male (X2) = binary variable (1 if male, O if female)
Age (X3) = age in years
North (X4) = binary variable (1 if Region = North, 0 otherwise)
South (X5) = binary variable (1 if Region = South, 0 otherwise)
East (X6) = binary variable (1 if Region = East, 0 otherwise)
Results of Regressions of Average Hourly Earnings on Gender and Education Binary
Variables and Other Characteristics Using 2007 Data from the Current Population Survey
Dependent variable: average hourly earnings (AHE).
Regressor
Graduated high school (X¡)
0.352
0.373
0.371
(0.021)
(0.021)
(0.021)
Male (X2)
0.458
0.457
0.451
(0.021)
(0.020)
(0.020)
Age (X3)
0.011
0.011
(0.001)
(0.001)
North (X4)
0.175
(0.37)
South (Xs)
0.103
(0.033)
East (X6)
-0.102
(0.043)
Intercept
12.84
12.471
12.390
(0.018)
(0.049)
(0.057)
F-statistic for regional effects = 0
21.87
SER
1.026
1.023
1.020
R?
0.0710
0.0761
0.0814
n
10973
10973
10973
Using the regression results in column (1):
Is the coefficient on "Graduated high school", estimated from this regression, statistically significant at the
level?
The calculated test statistic is
(two decimal places)
Therefore, is the null hypothesis rejected at the 5% level of significance? (Type Yes or No)
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