Questions from Econometrics

Q: Use the data in GPA1 for this exercise (i)

Use the data in GPA1 for this exercise (i) Add the variables mothcoll and fathcoll to the equation estimated in (7.6) and report the results in the usual form. What happens to the estimated effect of...

Q: There has been much interest in whether the presence of 401(

There has been much interest in whether the presence of 401(k) pension plans, available to many U.S. workers, increases net savings. The data set 401KSUBS contains information on net financial assets...

Q: Consider the potential outcomes framework from Section 2.7a, where

Consider the potential outcomes framework from Section 2.7a, where yi(0) and yi(1) are the potential outcomes in each treatment state. (i) Show that if we could observe yi(0) and yi(1) for all i then...

Q: In the potential outcomes framework with heterogeneous (nonconstant) treatment effect

In the potential outcomes framework with heterogeneous (nonconstant) treatment effect, write the error as ui = (1 - xi)ui(0) + xiui(1). Let 02 = Var[ui(0)] and 12 = Var[ui(1)]. Assume random assignm...

Q: Consider an estimated equation for workers earning an hourly wage, wage

Consider an estimated equation for workers earning an hourly wage, wage, where educ, years of schooling, and exper, actual years in the workforce, are measured in years. The dependent variable is lwag...

Q: The following table was created using the data in CEOSAL2, where

The following table was created using the data in CEOSAL2, where standard errors are in parentheses below the coefficients: The variable mktval is market value of the firm, profmarg is profit as a per...

Q: The data in MEAPSINGLE were used to estimate the following equations relating

The data in MEAPSINGLE were used to estimate the following equations relating school-level performance on a fourth-grade math test to socioeconomic characteristics of students attending school. The va...

Q: We used data on nonunionized manufacturing firms to estimate the relationship between

We used data on nonunionized manufacturing firms to estimate the relationship between the scrap rate and other firm characteristics. We now look at this example more closely and use all available firm...

Q: In Problem 3 in Chapter 3, we estimated the equation

In Problem 3 in Chapter 3, we estimated the equation where we now report standard errors along with the estimates. (i) Is either educ or age individually significant at the 5% level against a two-side...

Q: In the simple regression model under MLR.1 through MLR.

In the simple regression model under MLR.1 through MLR.4, we argued that the slope estimator, ^1, is consistent for 1. Using ^0 = y - ^1x1, show that plim ^0 = 0. [You need to use the consistenc...