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Earnings functions attempt to find the determinants of earnings, using both continuous and binary variables. One of the central questions analyzed in...
Earnings functions attempt to find the determinants of earnings, using both continuous and binary variables. One of the central questions analyzed in this relationship is the returns to education. Collecting data from 253 individuals, you estimate the following relationship:
ln(earning)= 0.14 + 0.093 Educ + 0.032 Exper - 0.0005 Exper^2
- 0.158 Female + 0.173 Married - 0.218 (Female ×Married),
In percentage terms:
Compared to single male, how much less do married female make? __% (keep one decimal point)