Question: To test the effectiveness of a job training program on the subsequent wages of workers, we specify the model log(wage) - (0 + (1 Strain

To test the effectiveness of a job training program on the subsequent wages of workers, we specify the model
log(wage) - (0 + (1 Strain + (2 educ + (3 exper + u,
where train is a binary variable equal to unity if a worker participated in the program. Think of the error term u as containing unobserved worker ability. If less able workers have a greater chance of being selected for the program, and you use an OLS analysis, what can you say about the likely bias in the OLS estimator of (1?

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