We are interested in analyzing the weekly consumption of burgers in Tallinn.

economics

Description

Question 1. We are interested in analyzing the weekly consumption of burgers in Tallinn. For this purpose we estimate the following equation that satisÖes the classical linear model assumptions:

14 (Note 1: this is a level-log equation: check the interpretation of partial e§ects in Table 2.3 in slides UT_Lecture 2 or in Wooldridge.) (Note 2: Use the other results below fo hypothesis testing, if necessary.) (Note 3: the numbers are all made up, they are not meant to o§end anyone.)


As you notice the equations with estimation results are numbered. In each part below state which equations you used, if any. In some parts you will have to use more than one equation. Some equations below are redundant.


1.1. (2 pts) Test that the claim that one more year of education would decrease the number of burgers consumed by more than 0.5. 


1.2. (1 pts) Calculate the di§erence in the burger consumption of a male weighting 80kgs and a female weighting 55kgs.


1.3. (2 pts) Calculate and interpret the partial e§ect of being female on burger consumption.


1.4 (2 pts) Test that there is no di§erence between the burger consumption of males and females.


Instruction Files

Related Questions in economics category