Questions from General Economics

Q: Suppose we want to estimate the effects of alcohol consumption (

Suppose we want to estimate the effects of alcohol consumption (alcohol) on college grade point average (colGPA). In addition to collecting information on grade point averages and alcohol usage, we a...

Q: If we start with (6.38) under the CLM

If we start with (6.38) under the CLM assumptions, assume large n, and ignore the estimation error in the

Q: Consider the following model to explain sleeping behavior: /

Consider the following model to explain sleeping behavior: (i) Write down a model that allows the variance of u to differ between men and women. The variance should not depend on other factors. (ii) U...

Q: Use the data in HPRICE1 to obtain the heteroskedasticity-robust standard

Use the data in HPRICE1 to obtain the heteroskedasticity-robust standard errors for equation (8.17). Discuss any important differences with the usual standard errors. (ii) Repeat part (i) for equation...

Q: The model that explicitly contains the long-run propensity, θ0

The model that explicitly contains the long-run propensity, θ0, as where we omit the other explanatory variables for simplicity. As always with multiple regression analysis, θ...

Q: Use the data in BARIUM for this exercise. (i

Use the data in BARIUM for this exercise. (i) Add a linear time trend to equation (10.22). Are any variables, other than the trend, statistically significant? (ii) In the equation estimated in part (i...

Q: Add the variable log( prgnp) to the minimum wage equation

Add the variable log( prgnp) to the minimum wage equation in (10.38). Is this variable significant? Interpret the coefficient. How does adding log( prgnp) affect the estimated minimum wage effect?...

Q: Use the data in FERTIL3 to verify that the standard error for

Use the data in FERTIL3 to verify that the standard error for the LRP in equation (10.19) is about .030.

Q: Use the data in EZANDERS for this exercise. The data are

Use the data in EZANDERS for this exercise. The data are on monthly unemployment claims in Anderson Township in Indiana, from January 1980 through November 1988. In 1984, an enterprise zone (EZ) was l...

Q: Use the data in FERTIL3 for this exercise. (i

Use the data in FERTIL3 for this exercise. (i) Regress gfrt on t and t2 and save the residuals. This gives a detrended gfrt, say, g