User Account

All Pages

What is the predicted ceteris paribus difference

Assignment Help Other Subject
Reference no: EM13319804

The medium starting salary for new law school graduates is determined by

log(salary) = ß0 + ß1 LSAT + ß2GPA + ß3log(libvol) + ß4 log(cost) + ß5 rank + u,

where LSAT is the median LSAT score for the graduating class, GPA is the median college GPA for the class, libvol is the number of volumes in the law school library, cost is the annual cost of attending law school, and rank is a law school ranking (with rank = 1 being the best). 

(i) Explain why we expect ß5 = 0.

(ii) What signs do you expect for the other slope parameters? Justify your answers.

(iii) Using the data in LAWSCH85.RAW, the estimated equation is

log(salary) = 8.34 + 0.0047 LSAT + 0.248 GPA + 0.095 log(libvol) + 0.038 log(cost) – 0.0033 rank n = 136, R2 = 0.842.

What is the predicted ceteris paribus difference in salary for schools with a median GPA different by one point? (Report your answer as a percentage.)

(iv) Interpret the coefficient on the variable log(libvol).

(v) Would you say it is better to attend a higher ranked law school? How much is a difference in ranking of 20 worth in term of predicted starting salary?

Reference no: EM13319804

Questions Cloud

Estimate the rationality of assessments of housing prices : Test the hypothesis that H0 : ß0 = 0 against the two sided alternatives. Then, test H0: ß1= 1 against the two sided alternatives. What do you conclude?
State the null hypothesis that the size of the student body : Are rent rates influenced by the student population in a college town? Let rent be the average monthly rent paid on rental units in a college town in the United States. Let pop denote the total city population
Discuss the estimated slope coefficients : What is the predicted atndrte if priGPA = 3.65 and ACT = 20? What do you make of this result? Are there any students in the sample with these values of the explanatory variables?
Why must we omit one of tax share variables : growth = ß0 + ß1 share P + ß2 share I + ß3 share S + other factors,where growth is the percentage change in employment from 1980 to 1990, share P is the share of property taxes in total tax revenue
What is the predicted ceteris paribus difference : What is the predicted ceteris paribus difference in salary for schools with a median GPA different by one point? (Report your answer as a percentage.)
Do you reject the null hypothesis : A random sample of 104 executives was asked about their views on the economy. 40 percent said it would improve (the rest saying it would not improve).
Would you say that the estimated fall in consumption : Would you say that the estimated fall in consumption is large in magnitude? Comment on the practical versus statistical significance of this estimate.
Are random variables x and y independent : Suppose a fair coin is tossed 3 times and let a random variable X denote the number of heads. Define Y, a Bernoulli random variable, as Y=1 if the first tossed coin turns up head, and Y=0 otherwise.
Find the mean and standard deviation when salary is measured : Let X denote the annual salary on university professors in the United States, measured in thousands of dollars. Suppose that the average salary is 52.3, with a standard deviation of 14.6.

Reviews

Write a Review

Other Subject Questions & Answers

  Cross-cultural opportunities and conflicts in canada

Short Paper on Cross-cultural Opportunities and Conflicts in Canada.

  Sociology theory questions

Sociology are very fundamental in nature. Role strain and role constraint speak about the duties and responsibilities of the roles of people in society or in a group. A short theory about Darwin and Moths is also answered.

  A book review on unfaithful angels

This review will help the reader understand the social work profession through different concepts giving the glimpse of why the social work profession might have drifted away from its original purpose of serving the poor.

  Disorder paper: schizophrenia

Schizophrenia does not really have just one single cause. It is a possibility that this disorder could be inherited but not all doctors are sure.

  Individual assignment: two models handout and rubric

Individual Assignment : Two Models Handout and Rubric,    This paper will allow you to understand and evaluate two vastly different organizational models and to effectively communicate their differences.

  Developing strategic intent for toyota

The following report includes the description about the organization, its strategies, industry analysis in which it operates and its position in the industry.

  Gasoline powered passenger vehicles

In this study, we examine how gasoline price volatility and income of the consumers impacts consumer's demand for gasoline.

  An aspect of poverty in canada

Economics thesis undergrad 4th year paper to write. it should be about 22 pages in length, literature review, economic analysis and then data or cost benefit analysis.

  Ngn customer satisfaction qos indicator for 3g services

The paper aims to highlight the global trends in countries and regions where 3G has already been introduced and propose an implementation plan to the telecom operators of developing countries.

  Prepare a power point presentation

Prepare the power point presentation for the case: Santa Fe Independent School District

  Information literacy is important in this environment

Information literacy is critically important in this contemporary environment

  Associative property of multiplication

Write a definition for associative property of multiplication.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd