You have obtained a sub-sample of 1744 individuals from the…

You have obtained a sub-sample of 1744 individuals from the Current Population Survey (CPS) and are interested in the relationship between weekly earnings and age. The regression, using heteroskedasticity-robust standard errors, yielded the following result: where Earn and Age are measured in dollars and years respectively. (a) [20 pts] Interpret the results. (The slope coefficient on “Age”, R-squared, and SER) (b) [20 pts] Why should age matter in the determination of earnings? Do the results suggest that there is a guarantee for earnings to rise for everyone as they become older? Do you think that the relationship between age and earnings is linear?

Laura, a three-year old girl is very shy and retiring. In he…

Laura, a three-year old girl is very shy and retiring. In her preschool, she has few friends and rarely approaches another child to play. She is very quiet and her teachers find her somewhat withdrawn. Her preschool teacher, Ms. Sony states, “I am worried about Laura. She is a pleasant child one on one but is so quiet and timid. When I ask her if she wants to play with another child or do things that I know she would enjoy Laura often hesitates.” Laura is likely a ______________ child.