Discuss are hourly wages for the two groups equal

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Empirical Economics Assignment: Confidence intervals

1. Using the data on hourly wages of high school graduates and persons with bachelor's degree, construct a 99% confidence interval for the mean hourly wage of high school graduates and mean wage of bachelor degree holders. Show your work! Are hourly wages for the two groups equal? Is there positive return to higher education? Briefly comment on your results.

2. Use the data on household size and total expenditures in Ontario to calculate and report the poverty rate in ON in 2009.

In 2009 the basic poverty lines (low-income cut-offs - LICOs) were defined as follows:

Number of persons in a household	Poverty line
1	18,421
2	22,420
3	27,918
4	34,829
5	39,660
6 and more	43,984

Attachment:- Assignment Files.zip

Reference no: EM131436701

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len1436701

3/22/2017 6:19:46 AM

I Have 3 files as the assignments the last one just a hint to help. Moreover, there are the data you will need in separate file. NOTE: Don’t report the raw data – just the interval construction steps and results! Having calculated the poverty rate, construct a 95% confidence interval for the poverty rate in ON in 2009. Show all your work!

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