ECON_2206_WK4_ASSIGNMENT

ECON_2206_WK4_ASSIGNMENT - Linna Li z3224548 ECON 2206...

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Linna Li z3224548 ECON 2206 Introductory Econometrics Week 4 Tutorial Assignment Q1. i) We could expect that a child’s education would have a positive relationship with his/her mother’s education. It means that the more years of education the mother has could have a positive impact on the child’s number of education. In this regression model, if we hold sibs and feduc fixed, every additional year of education the mother has would be predicted to increase her child’s education by 0.314 years. Therefore, Meduc does have the expected effect. ii) If we hold meduc and feduc fixed, every additional sibling would be predicted to decrease a child’s education by 0.11 years. If the family has more children, then it is unlikely that every child could be afforded to study in college or university. Therefore, the number of siblings would have a negative effect on a child’s number of schooling. iii) educA =10.36-0.11*2+0.324*10+0.192*10=15.3 yrs of schooling iv) educB =10.36-0.11*2+0.324*15+0.192*15=17.88 yrs of schooling v) Predicted differences in years of education=2.58
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ECON_2206_WK4_ASSIGNMENT - Linna Li z3224548 ECON 2206...

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