Solved

Table 81 on Page 284 of Your Textbook Displays the Following

Question 61

Short Answer

Table 8.1 on page 284 of your textbook displays the following estimated earnings function in column (4): T eamings ^=1.503+0.1032× educ 0.451× DFemme +0.0143×( DFemme × educ )(0.023)(0.0012)(0.024)(0.0017)\begin{aligned}\widehat { T \text { eamings } } = & 1.503 + 0.1032 \times \text { educ } - 0.451 \times \text { DFemme } + 0.0143 \times ( \text { DFemme } \times \text { educ } ) \\& ( 0.023 ) ( 0.0012 ) \quad \quad\quad\quad( 0.024 )\quad\quad\quad\quad\quad( 0.0017 )\end{aligned}

+0.0232× exper 0.000368× exper 20.058× Midwest 0.0098× South 0.030× West (0.0012)(0.000023)(0.006)(0.006)(0.007)\begin{array} { c c c c c } + 0.0232 \times \text { exper } - 0.000368 \times \text { exper } 2 - 0.058 \times \text { Midwest } - 0.0098 \times \text { South } - 0.030 \times \text { West } \\( 0.0012 ) \quad\quad\quad ( 0.000023 ) \quad\quad\quad ( 0.006 ) \quad\quad\quad\quad ( 0.006 ) \quad\quad\quad\quad\quad ( 0.007 )\end{array}

n=52.790,R2=0.267n = 52.790 , \overline { \mathrm { R } } ^ { 2 } = 0.267
Given that the potential experience variable (exper)is defined as (Age-Education-6)find the age at which individuals with a high school degree (12 years of education)and with a college degree (16 years of education)have maximum earnings, holding all other factors constant.

Correct Answer:

Answered by Quizplus AI

Answered by Quizplus AI

The earnings function is a quadratic fun...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents