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1 Intercept for high school graduate 2 Intercept for college graduate 3

1. Intercept for high school graduate

2. Intercept for college graduate

3. Has units $thousand/year, high school graduate

4. Has units $thousand/year, college graduate

5. Difference in slopes

6. Difference in intercepts

7. Interaction

8. Equal variances

9. Average salary for high school graduate with

10 years of experience

10. Average salary for college graduate with

10 years of experience

(a) β1

(b) β3

(c) β0 + β2

(d) β0 + β1 10

(e) X × D

(f) e

(g) β1 + β3

(h) β0 + β2 + (β1 + β3) 10

(i) β0

(j) β2

2. Intercept for college graduate

3. Has units $thousand/year, high school graduate

4. Has units $thousand/year, college graduate

5. Difference in slopes

6. Difference in intercepts

7. Interaction

8. Equal variances

9. Average salary for high school graduate with

10 years of experience

10. Average salary for college graduate with

10 years of experience

(a) β1

(b) β3

(c) β0 + β2

(d) β0 + β1 10

(e) X × D

(f) e

(g) β1 + β3

(h) β0 + β2 + (β1 + β3) 10

(i) β0

(j) β2

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