Consider the regression (Y_{i}=beta_{0}+beta_{1} X_{i}+u_{i}), where (Y_{i}) denotes a worker's average hourly earnings (measured in dollars) and

Question:

Consider the regression $Y_{i}=\beta_{0}+\beta_{1} X_{i}+u_{i}$, where $Y_{i}$ denotes a worker's average hourly earnings (measured in dollars) and $X_{i}$ is a binary (or indicator) variable that is equal to 1 if the worker has a college degree and is equal to 0 otherwise. Suppose $\beta_{1}=8$.1. Explain what this value means. Include the units of $\beta_{1}$ in your answer.

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