cps85 - test fe=feedu=0 * reject the null because the...

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use cps85, clear u * 0(1) summ * 0(2) bys fe: summ edu ex b * 1(1) reg lnwage edu ex r * 1(2) reg lnwage fe edu ex * to see whether different gender groups have different intecepts * * 1(3) * support (2) * * 1(4) gen ma=1-fe reg lnwage ma edu ex * gamma0=alpha+delta_m, delta_f=-delta_m * * 1(5) reg lnwage fe ma edu ex * either fe or ma drops * * 2(1) reg lnwage edu if fe==0 r * 2(2) gen feedu=fe*edu reg lnwage fe edu feedu * beta coefficients are the same, std errors change * * 2(3) reg lnwage edu if fe==1 * gamma0=beta0+delta0, gamma1=beta1+delta1 * * 2(4) * can test whether two groups have different intercept and/or slopes * * 2(5) reg lnwage fe edu feedu
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Unformatted text preview: test fe=feedu=0 * reject the null because the p-value is small * * 3(1) reg lnwage edu ex if fe==0 predict lnwagehat_m summ lnwage lnwagehat_m if fe==0 s * 3(2) * SUM(lnwage)=SUM(lnwagehat+uhat)=SUM(lnwagehat)+SUM(uhat)=SUM(lnwagehat) * * 3(3) reg lnwage edu ex if fe==1 predict lnwagehat_f summ lnwagehat_f if fe==0 s * 3(4) bys fe: summ lnwage * almost 0% of the gender gap, (1.916226-1.934028)/(2.165281-1.934028), is explained * and almost 100% of the gender gap (2.165281-1.916226)/(2.165281-1.934028), is unexplained * so there is a strong possibility of discrimation...
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This note was uploaded on 04/04/2011 for the course ECON 401 taught by Professor Staff during the Spring '08 term at University of Washington.

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cps85 - test fe=feedu=0 * reject the null because the...

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