Solved

Consider the Following Data for Men and Women: If

Question 18

Multiple Choice

Consider the following data for men and women: Consider the following data for men and women:   If a regression estimates the return to experience for men, β<sub>M</sub>, to be 0.25, how much of the average difference in wages can be attributed to differences in work experience and how much can be attributed to discrimination and/or unobservable characteristics? A) $0.00 to differences in work experience; $2.50 to discrimination/unobservable characteristics. B) $1.20 to differences in work experience; $1.30 to discrimination/unobservable characteristics. C) $1.30 to differences in work experience; $1.20 to discrimination/unobservable characteristics. D) $1.50 to differences in work experience; $1.00 to discrimination/unobservable characteristics. E) $2.50 to differences in work experience; $0.00 to discrimination/unobservable characteristics. If a regression estimates the return to experience for men, βM, to be 0.25, how much of the average difference in wages can be attributed to differences in work experience and how much can be attributed to discrimination and/or unobservable characteristics?


A) $0.00 to differences in work experience; $2.50 to discrimination/unobservable characteristics.
B) $1.20 to differences in work experience; $1.30 to discrimination/unobservable characteristics.
C) $1.30 to differences in work experience; $1.20 to discrimination/unobservable characteristics.
D) $1.50 to differences in work experience; $1.00 to discrimination/unobservable characteristics.
E) $2.50 to differences in work experience; $0.00 to discrimination/unobservable characteristics.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents