(c) Test the hypothesis that there is no gender gap in wage. Use the 95% critical value for this. Can you reject the hypothesis?Hint: Use 1.96 for the critical value. [4pt.](d) Suppose you have education level for female workers in addition to their wage, which is the following. In order to know about the relation between these two variables, you decide to calculate a correlation. Calculate the correlation. Based on the correlation, how does worker's income change when their edu- cational level increase? In other words, is increase in female worker's income correlated to increase or decrease in their educational level? [4pt.]Female 123456789Wage 600 500 700 750 900 900 800 800 1000 YearsofEdu. 8 7 7 9 10 11 9 10 12

2. Suppose that you are now analyzing weekly wage gap across gender in Santa Bar- bara. To do this, you randomly draw 18 workers with replacement, which consist of 9 males and 9 females. The below table shows their wage. [15pt.] Page 2 Observations 1 2 3 4 5 6 7 8 9 Male 1000 1200 900 800 1100 1300 1800 1500 1700 Female 600 500 700 750 900 900 800 800 1000 (a) Calculate a median for male and female workers in this sample. (3pt.] (b) To determine whether there exists gender gap in wage, you decide to calculate and compare sample means of male workers' wage and of female workers' wage. Calculate sample mean and variance of male and of female workers. [4pt.]