Additional experience actually lower predicted ln wage

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1. 4 years ago, you invest by putting 1500 in an account. 3 years ago, you put in another 800. Past two years, you put in 500$ each year. Today you have balance of 4124.17$. What interest rate did you earn, compounded annually? Show your work

2. At what level of exper does additional experience actually lower predicted ln(wage)? How many people have experience more than the turning point in this sample?

lnwage = 0.128 + 0.090 (educ) + 0.041(exper) - 0.00071(exper^2)

Reference no: EM132070130

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