OBA 330 Spring 2017 Week 9 Homework Problems Due prior to the start of class on Monday June 5, 2017 1. Copy the salary data file sal2.xlsx: Y = beginning salary in $ X1 = years of schooling at the time of hire X2 = number of months of previous work experience X3 = number of months that the individual was hired by the company (Time) X4 = Sex (1 if male) a. Run a regression relating salaries to experience and education (Model 1): 1. Could the impact that experience has on salaries be as much as $2? (Make sure that you justify the set of hypotheses that you should use to validate the claim.) b. Now run a regression with the 3 explanatory variables + sex. (Model 3) 1.Is there a difference in salaries, on average, for male and female workers after accounting for the effects of the three other explanatory variables ? Use a 5% level of significance to answer this question. State the hypotheses to be tested. Could there be discrimination? 2. What salary would you forecast for males with 12 years of education, 10 years of experience, and with time hired equal to 15? What salary would you forecast for females with the same characteristics. 3. Perform a test to see if the coefficients for the variables experience, education, and time in this expanded regression could jointly be considered zero. (Hint: you may have to run other regressions.) 4. Perform a test to see if jointly experience and education variables can be dropped from the model EDUCAT 12.00 10.00 12.00 8.00 8.00 12.00 12.00 12.00 15.00 8.00 12.00 12.00 8.00 12.00 12.00 12.00 12.00 12.00 12.00 12.00 12.00 16.00 8.00 8.00 12.00 12.00 15.00 15.00 16.00 12.00 8.00 12.00 8.00 8.00 12.00 8.00 8.00 12.00 12.00 12.00 12.00 12.00 12.00 15.00 15.00 15.00 15.00 12.00 12.00 12.00 12.00 12.00 12.00 EXPER 0.00 44.00 5.00 6.20 7.50 0.00 0.00 4.50 75.00 52.00 8.00 52.00 70.00 6.00 11.00 11.00 63.00 144.00 163.00 228.00 381.00 214.00 318.00 96.00 36.00 59.00 115.00 165.00 123.00 18.00 102.00 127.00 90.00 190.00 107.00 173.00 228.00 26.00 36.00 38.00 82.00 169.00 244.00 24.00 49.00 51.00 122.00 97.00 196.00 132.50 55.00 90.00 116.50 TIME 1.00 7.00 30.00 7.00 6.00 7.00 10.00 6.00 2.00 3.00 19.00 3.00 20.00 23.00 12.00 17.00 22.00 24.00 12.00 26.00 1.00 15.00 25.00 33.00 15.00 14.00 1.00 4.00 12.00 12.00 29.00 29.00 11.00 1.00 11.00 34.00 33.00 11.00 33.00 22.00 29.00 27.00 1.00 13.00 27.00 21.00 33.00 17.00 32.00 30.00 9.00 23.00 25.00 SEX Salary 0.00 39000 0.00 40200 0.00 42900 0.00 43800 0.00 43800 0.00 43800 0.00 43800 0.00 43800 0.00 44400 0.00 45000 0.00 45000 0.00 46200 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 48000 0.00 49800 0.00 51000 0.00 51000 0.00 51000 0.00 51000 0.00 51000 0.00 51000 0.00 51600 0.00 52200 0.00 52200 0.00 52800 0.00 52800 0.00 52800 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 54000 0.00 55200 0.00 55200 0.00 55800 0.00 56400 0.00 57000 0.00 57000 15.00 15.00 15.00 12.00 15.00 12.00 12.00 15.00 12.00 15.00 12.00 12.00 12.00 12.00 12.00 12.00 15.00 15.00 15.00 8.00 12.00 12.00 12.00 12.00 12.00 12.00 15.00 15.00 15.00 15.00 15.00 16.00 15.00 15.00 15.00 15.00 15.00 12.00 15.00 16.00 51.00 61.00 241.00 121.00 78.50 208.50 86.50 231.00 11.50 14.00 180.00 315.00 29.00 7.00 38.00 113.00 17.50 359.00 36.00 320.00 24.00 32.00 49.00 56.00 252.00 272.00 25.00 35.50 56.00 64.00 108.00 45.50 72.00 64.00 84.00 215.50 41.50 175.00 132.00 54.50 17.00 11.00 34.00 30.00 13.00 21.00 33.00 15.00 22.00 3.00 15.00 2.00 14.00 21.00 11.00 3.00 8.00 11.00 5.00 21.00 2.00 17.00 8.00 33.00 11.00 19.00 13.00 32.00 12.00 33.00 16.00 3.00 17.00 16.00 33.00 16.00 7.00 10.00 24.00 33.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 57000 57000 57000 60000 60000 61200 63000 63000 46200 50400 51000 51000 52200 54000 54000 54000 54000 54000 57000 60000 60000 60000 60000 60000 60000 60000 60000 60000 60000 60000 60000 60000 63000 66000 66000 66000 68400 69000 69000 81000