Using data from 50 workers a researcher estimates Wage 0 1

Using data from 50 workers, a researcher estimates Wage = ?₀ + ?₁Education + ?₂Experience + ?₃Age + ?, where Wage is the hourly wage rate and Education, Experience, and Age are the years of higher education, the years of experience, and the age of the worker, respectively. The regression results are shown in the following table.

b. What is the sample regression equation? (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.)

y = _____ + ________ Education + __________ Experiance + __________ Age

c. Predict the hourly wage rate for a 29-year-old worker with 3 years of higher education and 2 years of experience. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

y ___________

	Coefficients	Standard Error	t Stat	p-Value
Intercept	7.58	4.42	1.71	0.0931
Education	1.68	0.37	4.54	0.0000
Experience	0.35	0.18	1.94	0.0580
Age	?0.06	0.05	?1.20	0.2363
b. What is the sample regression equation? (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) y = _____ + ________ Education + __________ Experiance + __________ Age c. Predict the hourly wage rate for a 29-year-old worker with 3 years of higher education and 2 years of experience. (Do not round intermediate calculations. Round your answer to 2 decimal places.) y ___________

Solution

Answer B Regression equation will be Y=7.58+1.68Education+0.35 experience-.06 Age Answer C Y=7.58 + 1.68*3 + 0.35* 2 -.06* 29 Y= 11.58 Hourly wage rate=11.58