EP BUSINESS STATISTICS:FIRST COURSE-ACC
EP BUSINESS STATISTICS:FIRST COURSE-ACC
8th Edition
ISBN: 9780135179802
Author: Levine
Publisher: PEARSON CO
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Suppose you wanted to test whether or not the payoff to an additional year of education was the same for men and women in the STEM majors. How would you set up your regression analysis in this case
1. Develop a simple linear regression equation for starting salaries using an independent variable that has the closest relationship with the salaries. Explain how you chose this variable.
According to human capital theory, a person’s earning is linked to her level of education – there is a relationship between workers income and years of education. Using data from the Labour Force Survey, a researcher found the following regression results for earnings on intercept, years of education, experience, and experience squared:                         Earnings =    5.24  +  0.035 educ + 0.165 exper – 0.003 exper2                                            (2.45)      (0.012)                 (0.031)               (0.001)      Construct a 95% confidence interval for the effect of years of education on earnings  ?                                                                                                                                                                           2. Consider an individual with 8 years of experience. What would you expect to be the return to two (2) additional years of experience (the effect on earnings)?    3. According to economic theory,…
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Correlation Vs Regression: Difference Between them with definition & Comparison Chart; Author: Key Differences;https://www.youtube.com/watch?v=Ou2QGSJVd0U;License: Standard YouTube License, CC-BY
Correlation and Regression: Concepts with Illustrative examples; Author: LEARN & APPLY : Lean and Six Sigma;https://www.youtube.com/watch?v=xTpHD5WLuoA;License: Standard YouTube License, CC-BY