What is the coefficient on years of schooling

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Reference no: EM133411023

Question: This dataset gives the average annual earnings for 41- to 50-year-old men in the United States in 1980 at each level of schooling. One observation gives the average earnings (in thousands of dollars) for men with eight years of schooling, another gives the average for those with nine years of schooling, and so on.

Run a regression with earnings as the dependent variable and schooling as the sole independent variable.

What is the coefficient on years of schooling? Interpret the coefficient, or in other words, explain what it means.

 

Reference no: EM133411023

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