Suppose you have two classifications: female and male. The dummy variable, f, takes the value of 1 if the individual is a female, 0 if male. Given the following model: E[GPA]= 0+0.07*ACT+{a)*f+1*f*ACT What is the marginal effect of a unit increase in ACT on E[GPA] for males?

Suppose you have two classifications: female and male. The dummy variable, f, takes the value of 1 if the individual is a female, 0 if male. Given the following model: E[GPA]= 0+0.07ACT+{a)f+1fACT What is the marginal effect of a unit increase in ACT on E[GPA] for males?

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Question

Suppose you have two classifications: female and male. The dummy variable, f, takes the value of 1 if the individual is a female, 0 if male. Given the following model:

E[GPA]= 0+0.07*ACT+{a)*f+1*f*ACT

What is the marginal effect of a unit increase in ACT on E[GPA] for males?

Expert Solution

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E[GPA]= 0+0.07*ACT+{a)*f+1*f*ACT

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