Question: Written problems: 1. 2. Wooldridge: Chapter 7, Problem 2 Wooldridge: Chapter 7, Problem 8 Computer problems (show any relevant Stata output): 1. Wooldridge: Chapter 5,

Written problems: 1. 2. Wooldridge: Chapter 7, Problem 2 Wooldridge: Chapter 7, Problem 8 Computer problems (show any relevant Stata output): 1. Wooldridge: Chapter 5, Computer Exercise C] (To save the residuals after a regression, use the predict command with the resid option --- for example: predict uhat, resid ) Wooldridge: Chapter 5, Computer Exercise C2 Wooldridge: Chapter 6, Computer Exercise C8 Wooldridge: Chapter 7, Computer Exercise C2, parts (i) and (iv) Also answer the following: Using the original model (the one in part (i)), assume that you replaced the married indicator variable with a single indicator variable (where single = l - married). Without actually running the regression, what would the following quantities be in the new regression: (a) R-squared, (b) the slope estimate on single, and (c) the slope estimate on educ. Explain. (After you've gured it out, you can check yourself in Stata but you don't need to report the Stata output.) Wooldridge: Chapter 7, Computer Exercise C3 Also answer the following: Suppose that you wanted to group the following three categories together (scndbase, thrdbase, shrtstop) into a single category. What are you implicitly assuming by grouping these categories together? How would you test this assumption
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