Econ 230 - Homework 2 1. Let kids denote the number of children ever born to a woman, and let educ denote years of educations for the woman. A simple model relating fertility to years of education is: kids = 0 + 1 educ + u, where u is the unobserved error
Economics 230 Fall 2010
Homework - 4
Z.Mukherjee
1. Consider an equation to explain salaries of CEOs in terms of annual firm sales, return on equity (roe, in percentage form) and return on the firms stock (ros, in percentage form):
log(salary ) = o + 1 lo
Economics 230 Fall 2010
Homework - 3
Z.Mukherjee
1. The following equation was estimated by OLS,
co lg pa = 1.392 0.0135hsperc + 0.00148sat ,
n = 4,137 and R 2 = 0.273 ,
where colgpa (college GPA) is measured on a four-point scale, hsperc is the percentil
Economics 230 Fall 2010
Homework - 1
Z.Mukherjee
1. (a) Suppose that a random variable X takes the following values: -2, 0, 1, 3, 8 with the corresponding probabilities: 0.2, p, 0.1, 2p, 0.4. Calculate the expected value of X. (b) As you can see, the rand