On average, a woman will work 6. How large is the fertility effect on labor supply. However, we have a p-value that is much smaller than 0. We can see that our R-square is very low, our regression model using fertility as the independent variable only explains 1.
They have a headstart so to speak. In this exercise you will estimate this effect using data for married women from the U. On average, do women with more than two children work less than women with two children.
This makes sense as women with 2 children are more liekly to have 3 and have to work less to care for them than women who have none or only one. Explain why samesex is a valid instrument for the instrumental variable regression of weeksworked on morekids.
Hand-in assignment 6 consists of Empirical Exercise E Our r square is very low, meaning there is little fit to our regression line. The data set contains information on married women aged with two or more children.
We know this because our p-value is much smaller than 0. Is the effect large. Follow the following steps: Explain why or why not. Regress weeksworked on the indicator variable morekids using OLS. The data set contains the variable samesex, which is equal to 1 if the first two children are of the same sex boy-boy or girl-girl and equal to 0 otherwise.
Are couples whose first two children are of the same sex more likely to have a third child.
Finally, our p-value is much smaller than 0. Secondly, we satisfy condition 2 because our instrumental value has no correlation with the error terms, due to observing that the second stage regression is statistically significant with similar slope and the same intercept as the original OLS regression of fertility and labor supply.
Estimate the regression of weeksworked on morekids using samesex as an instrument. Here we can see that our OLS model shows that women with more than 2 kids will work 5.
Is samesex a weak instrument. Min 1Q Median 3Q Max Furthermore, our RSE are high at 0. Is it statistically significant.
Our R-square is also low, at 0. Do the results change when you include the variables ageml, black, hispan, and othrace in the labor supply regression treating these variable as exogenous.
Explain why the OLS regression estimated in a is inappropriate for estimating the causal effect of fertility morekids on labor supply weeksworked. Two-stage least squares examples 1 Angrist: Vietnam Draft Lottery 2 3 Vietnam era service • Defined as • Estimated million served during era • million were in SE Asia morekids byte %g =1 if mom had more than 2 kids boy1st byte %g =1 if 1st kid was a boy.
Two-stage least squares examples 1 Angrist: Vietnam Draft Lottery 2 3 Vietnam era service • Defined as • Estimated million served during era • million were in SE Asia morekids byte %g =1 if mom had more than 2 kids boy1st byte %g =1 if 1st kid was a boy.
Regression of morekids on support show that there is a relationship between winforlifestats.comd: ivregress 2sls weeksm1 (morekids= support) agem1 black hispan othrace which makes proper sense after including these variables. robust Description: Controlling yields coefficient d) Explain why e) Is samesex samesex is a valid instrument for the IV regression of weeksm1 on morekids.
a weak instrument? weeksm1 f) Estimate the regression of on morekids %(4). b ProblemSet 5 Solutions - Download as PDF File .pdf), Text File .txt) or read online. Standford problem set. Regression Models Week 12 Anthony Davison 22 January Anthony Davison: Regression Models, Week 12 1.
Motivation Generalized Linear Model (GLM) Regression modelling for proportions, counts, positive responses.Regression for weeksm1 on morekids