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The problem below is about Binary Variables See Regression function below:
The problem below is about Binary Variables
See Regression function below:
ln(wage) = Beta0 + Beta1GED+Beta2AGE+Beta3AGESQ+B4EDUC+u
GED - general education development (GED = 1, if graduated, 0 otherwise)
AGE - individual age
EDUC - years of education
How to get a model that allows the effect of the GED program to vary between minorities and non-minorities