This preview shows page 1. Sign up to view the full content.
Unformatted text preview: X2 = ⎧1 if unemployed ⎨ ⎩0 if not “Omitted outcome” is “not in the labor force.” 22 CATEGORICAL VARIABLES More than two categories: Ethnicity ⎧1
X1 = ⎨
⎩0 if African − American if not ⎧1
X2 = ⎨
⎩0 if Hispanic if not ⎧1
X3 = ⎨
⎩0 if Asian − American if not “Omitted characteristic” is “other” 23 Examples: Classify each variable below. a = continuous or approximately continuous b = discrete (not a dummy variable) c = dummy variable Data for all “metropolitan statistical areas” (MSA’s) Definition of MSA: http://www.census.gov/population/
www/estimates/aboutmetro.html 1. City population 2. Whether a city has mass transit rail system, such as a subway or light rail 3. Percentage of workers who drive to work 24 Examples: Classify each variable below. a = continuous or approximately continuous b = discrete (not a dummy variable) c = dummy variable Large sample of 40 year ‐olds 4. Number o...
View Full Document
This note was uploaded on 03/25/2014 for the course ECO 329 taught by Professor K during the Spring '08 term at University of Texas at Austin.
- Spring '08