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Midterm09

# Midterm09 - 1 EEP 118 IAS 118 Elisabeth Sadoulet and Ben...

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Unformatted text preview: 1 EEP 118 / IAS 118 Elisabeth Sadoulet and Ben Crost University of California at Berkeley Fall 2009 Introductory Applied Econometrics Midterm examination Scores add up to 50 (5 points for each sub-question) Your name:________________________________________ SID:__________________________ SID _______________________________ 2 1. (5 points) X and Y are two random variables with means X and Y , variances var X ( ) and var Y ( ) , and covariance cov X , Y ( ) . Compute the mean and variance of the following random variable: Z = 3 X ! 2 Y + 1 2 (5 points) To investigate possible gender discrimination in a firm, a sample of 100 men and 64 women with similar job descriptions are selected at random and independently. A summary of the resulting monthly salaries is: Average Standard Number of salary deviation observations Men \$3100 \$200 100 Women \$2900 \$320 64 Do these data provide statistically significant evidence that the wages of men and women are different? 3. (5 points) Use the results in Table 1 (last page of exam). How much of the variation in soda prices is explained by the presence of competition and the proportion of black people in a neighborhood? SID _______________________________ 2 1. (5 points) X and Y are two random variables with means X and Y , variances var X ( ) and var Y ( ) , and covariance cov X , Y ( ) . Compute the mean and variance of the following random variable: Z = 3 X ! 2 Y + 1 2 (5 points) To investigate possible gender discrimination in a firm, a sample of 100 men and 64 women with similar...
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Midterm09 - 1 EEP 118 IAS 118 Elisabeth Sadoulet and Ben...

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