Introductory econometrics – Econ 107
30 points
Econ 107代写 Q1. [ 12 points] Suppose that you collected data on hourly wage and the number of years of schooling for 200 employees in Riverside.
Please answer all three questions and upload your answers as a PDF copy on iLearn
Q1. [ 12 points] Econ 107代写
Suppose that you collected data on hourly wage and the number of years of schooling for 200 employees in Riverside. The data is summarized as follows: 40 employees have an income of $10 per hour and 3 years of schooling, 20 employees have an income of $10 per hour and 4 years of schooling, 60 employees have an income of $ 16 per hour and 3 years of schooling, 80 employees have an income of $16 per hour and 4 years of schooling. Please use W for wage and S for years of schooling.
Please solve the following questions:
- Find the join and marginal probabilities? (hint: you may use a table with wage (W) and years of schooling (S).
- Find the probability of W=10 given that the S=3?
- Find the probability of S=4 given that W=16?
- Find the mean or expected value of wage? Find the variance of wage?
- Find the mean or expected value of years of schooling? Find the variance of years of schooling?
- Find the covariance between wage and years of schooling? Are they ( S and W) independent?
- Find the expected value (mean) of wage given that the S=3? Find the variance of wage given that S=3?
Q2. [ 12 points] Econ 107代写
The table below represents a data on oil prices and the number of daily cases of COVID-19 where Y is the oil price and X is the COVID-19 new cases:
a. Find 𝛼̂ , 𝛽̂ , where 𝑌𝑖 = 𝛼̂ + 𝛽̂𝑋 + 𝑢̂𝑖 , and 𝐸̂(Y/X) = 𝛼̂ + 𝛽̂X?
b. Interpret the coefficient in part (a) and draw the regression line?
c. Find 𝑢̂i for each of the observations? Find the SST, SSR, and SSE?
d. Find and explain and R-squared ( 𝑅² ) ?
e. Find the variance and standard error of 𝛽̂ ?
Q.3 [ 6 points] Econ 107代写
The regression output below represents the impact of income and price on the quantity of demand.
a. Interpret and explain the price and income coefficients?
b. Find the R-square and SSE?