The data set fertility.csv contains information about n = 4286 women in Botswana during 1988.

The data set fertility.csv contains information about n = 4286 women in Botswana during 1988. This information includes number of children, years of education, age, and religious and economic status variables. Additional information about each of the variables in this data-set is available in the file fertilitydescr.pdf, which is posted along with this homework. Our policy question is to understand the effect of education (how many years of education to undertake) on women’s fertility decisions. a. We first estimate the following model using simple OLS regression: childreni = β0 + β1educi + β2agei + β3age2 i + β4urbani + β5tvi +β6catholici + β7knowmethi + β8usemethi + ui , i = 1, …, n where our focus is on the parameter β1. Suppose at first that assumptions MLR.1 − MLR.4 for OLS are satisfied and estimate the model accordingly. Given the possibility that MLR.5 doesn’t hold, report heteroskedasticity robust standard errors. Report the value for the estimators of the regression coefficients, their standard errors, and their significance levels. b. Do you think that Cov(educi , ui) = 0? Explain. c. The public education requirements for women in Botswana, including those in our estimation sample, depend on birth date. Those born in the first six months of the year must remain in school until they are approximately six months older than those born in the second half of the year. frsthalf is a dummy variable equal to one if the woman was born during the first six months of the year, and zero otherwise. Explain what is required for frsthalf to be a valid instrumental variable for educ. Do these assumptions seem reasonable? d. Estimate the first step regression of educ on f irsthalf as well as all of the regressors included in the part (a) OLS fertility model. Verify that the coefficient associated to f irsthalf is significant. Use heteroskedasticity robust standard errors.

Show more

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
The price is based on these factors:
Academic level
Number of pages
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your essay today and save 10% with the coupon code: best10