Prepare a report to explain the impact of education on income, based on the requirements below....

  

Transcribed Image Text:

Prepare a report to explain the impact of education on income, based on the requirements below. Part A: Estimate the impact of years of schooling on hourly wage with an OLS estimation on the following model, hwageiß0 + B1 schooli + ui (A) The following points should be discussed. Explain expected values of hourly wage and years of schooling and explain standard deviations of hourly wage and years of schooling. Plot hourly wage against years of schooling using eviews. • Estimate the model using EViews. • Derive the estimates, 0 and 1, using data directly/excel or any other, rather than using EViews. Interpret the estimates, 0 and p1, and discuss the significance G Group: UNTITLED Workfile: ^2021-22 ASSIGNMENT::Hw\ View Proc Object Print Name Freeze Default HWAGE HWAGE 123456 5 7 8 9 10 11 12 13 14 15 16 17 18 19 20 < EXPER EXPER 22 13 8 6 10 16 5 26 18 15 14 4 2 20 24 12 16 15 9 19 15.16 13.39 9.47 5.93 15.71 13.54 8.69 15.25 13.15 9.31 8.51 9.81 9.84 8.75 12.71 8.73 11.09 14.79 11.60 7.05 SCHOOL SCHOOL 17 10 13 14 17 10 13 17 10 14 11 17 14 12 13 10 8 19 15 10 Sort Edit+/- Smpl Prepare a report to explain the impact of education on income, based on the requirements below. Part A: Estimate the impact of years of schooling on hourly wage with an OLS estimation on the following model, hwageiß0 + B1 schooli + ui (A) The following points should be discussed. Explain expected values of hourly wage and years of schooling and explain standard deviations of hourly wage and years of schooling. Plot hourly wage against years of schooling using eviews. • Estimate the model using EViews. • Derive the estimates, 0 and 1, using data directly/excel or any other, rather than using EViews. Interpret the estimates, 0 and p1, and discuss the significance G Group: UNTITLED Workfile: ^2021-22 ASSIGNMENT::Hw\ View Proc Object Print Name Freeze Default HWAGE HWAGE 123456 5 7 8 9 10 11 12 13 14 15 16 17 18 19 20 < EXPER EXPER 22 13 8 6 10 16 5 26 18 15 14 4 2 20 24 12 16 15 9 19 15.16 13.39 9.47 5.93 15.71 13.54 8.69 15.25 13.15 9.31 8.51 9.81 9.84 8.75 12.71 8.73 11.09 14.79 11.60 7.05 SCHOOL SCHOOL 17 10 13 14 17 10 13 17 10 14 11 17 14 12 13 10 8 19 15 10 Sort Edit+/- Smpl

Answer rating: 100% (QA)

The purpose of this report is to examine the impact of education on income The study will be based o... View the full answer