Sketched out answers Final Econ140A 2011Fall

085 for men and 0085 0016 for women so we know that

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Unformatted text preview: for men and 0.085-0.016 for women. So we know that education has less effect on the latent variable for women. That’s not a complete answer, because if women are more or less likely to be married than men then the nonlinearity of the probit may enter as well. Since the fraction of men and women who are married is about the same, one hopes the nonlinearity isn’t too important. With regard to the second question, the differential effect for women on the latent variable is . So the probability of getting married is higher for a woman with less than a tenth grade education and lower for a women with more than a tenth grade educatio...
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This test prep was uploaded on 03/19/2014 for the course ECON 140a taught by Professor Staff during the Spring '08 term at UCSB.

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