3. (Textbook Question 5.10) 10 points The regression model looks as follows: log(EARNINGS); = Bo + BISi + B2EXPi + B3MALE + BACOLLBARG + wi. Following is the results of regressing logged hourly earnings, denoted by log(EARNINGS), on S, EXP MALE, and COLLBARG. (log(EARNINGS) denotes the logged hourly earnings, S represents years of schoolings, EXP represents the total out-of-school work experience (years), MALE is a binary variable denoting male.) Does belonging to a union have an impact on earnings? In the output below, COLLBARG is a dummy variable defined to be 1 for workers whose wages are determined by collective bargaining and 0 for the others. Provide an interpretation of the regression coefficients and perform appropriate statistical tests. ## # A tibble: 5 x 5 ## term estimate std. error statistic p. value # # ## 1 (Intercept) 1. 04 0. 197 5. 29 1.87e- 7 ## 2 S 0. 0932 0 . 0101 9. 19 1. 11e-18 ## 3 EXP 0. 0423 0 . 00940 4.50 8. 61e- 6 ## 4 MALE 0. 172 0 . 0452 3.79 1. 67e- 4 ## 5 COLLBARG 0. 258 0 . 0631 4. 08 5. 19e- 5