you estimate the following from a sample of 34 observations. b0 b1 b2 b3 Estimate 12.5...

  

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you estimate the following from a sample of 34 observations. b0 b1 b2 b3 Estimate 12.5 1.2 8.0 0.8 Standard Error 2.7 0.2 3.8 0.5 Suppose you believe that the true effect of union membership is exactly what you estimated (union members earn $8 more per hour than non-union members). You want to then test the null hypothesis that 5 years of education has the same effect on wages as union membership. a. The test statistic used for this hypothesis test is given by 2 b. Based on your answer to a and the underlying distribution, you would reject the null hypothesis at the 5% level of significance (Hint: this is a two tailed test!) you estimate the following from a sample of 34 observations. b0 b1 b2 b3 Estimate 12.5 1.2 8.0 0.8 Standard Error 2.7 0.2 3.8 0.5 Suppose you believe that the true effect of union membership is exactly what you estimated (union members earn $8 more per hour than non-union members). You want to then test the null hypothesis that 5 years of education has the same effect on wages as union membership. a. The test statistic used for this hypothesis test is given by 2 b. Based on your answer to a and the underlying distribution, you would reject the null hypothesis at the 5% level of significance (Hint: this is a two tailed test!)