Logo
Home Study Material Contact Search
AI Chat FREE
  1. mathematics
  2. statistics
  3. suppose you are interested in understanding the ca

Suppose you are interested in understanding the causal impact of having an MBA (versus just an...

50.1K

Verified Solution

Question

Statistics

Suppose you are interested in understanding the causal impact ofhaving an MBA (versus just an undergraduate degree in business) onearnings.  To this end, you estimate a regression of thefollowing form:

EARNINGS = 55679 + 27809(MBA)

The estimated coefficient above suggests that individuals withan MBA earn $27,809 more than those with just a businessundergraduate, on average.  Give an example of howomitted variable bias might impact this estimate

Answer & Explanation Solved by verified expert
4.1 Ratings (739 Votes)
Let us take an example to understand this problem Let us assume that a person wants to buy a house and hence he decided to find out the factors tht determine the price of the houses in his    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

8 1 point Simplify 49x y4 7zy 24 5 x y 07 x y Oxyl

Algebra
Q

Garlington Technologies Inc.'s 2018 financial statements are shown below: Balance Sheet as of December 31, 2018 Cash $   180,000 Accounts payable $   360,000 Receivables 360,000 Notes...

Finance
Q

Identify the emerging role of aircraft and parachutes in supporting and maintaining pressure or defensive efforts...

Civil Engineering
Q

The genetic code translating nucleotides into amino acids is excellent evidence of what you may...

Biology
Q

1 An ideal diatomic gas undergoes a thermodynamic process where pressure P as a 3V...

Physics
Q

Consider a uniform rod of mass M 4m and length pivoted about its centre A...

Physics
Q

12 Energy required to move a body of mass m from orbit of radii 2R...

Physics
Q

onvert the temperature as indicated Round your answer to hundredths if appropriate 13 90 F...

Basic Math
Q

How does an SAT score of 1120 compare to an ACT score of 23

Algebra
Q

At the beginning of the year, Camille purchased 300 shares of stock at $25.50 per...

Accounting
Q

Michael Jones recorded the following transactions during the month of April. Apr. 3 Cash 1,830...

Accounting
Q

Owner Richard is aware that Morning Dew Trailers is experiencing difficulties, and he has hired...

Accounting