ECONOMICS 321 Research Assignment The goal of this assignment is to test some of the assumptions of our regression model. You have developed the skills to run and analyze a regression in excel, now you will get some practice in testing for violations in homoskedasticity, exogeneity of the independent regressors, everyone must submit their own assignment written in their own writing (i.e., no copying other people's assignments). Answers that are not explained in proper sentences will only receive full grade. Data attached. 1. What is the mean level of Wage in this sample? Number of Observations? 2. The variable recording the individual's marital status is MARR. What percentage of individuals surveyed are in the Married group? 3. What is the correlation between EXPEPERIENCE and WAGE? (in any cell put the "correl(first variable, second variable) Correlation between Education and experience? 4. Plot the scatter plot: Wage, Experience Wage, Education Wage, age What do those three graphs reveal? (Wage is always the dependent variable) 5. 1- Run The regression of wage on education only. 2-Run the regression of wage on education and Experience only. 3-Run the regression of wage on education, experience, and age. Do we get an indication that the estimate of Education without EXP were biased? If so, in which direction? And why is that? (compering 1 and 2) Test if you should include experience and age in the regression. (If experience and age help explain wage) 6. Run The regression including the dummies sex and Marr? When does dummy variable trap happen? 7. Perform the Chow-test: if there is difference between Married and Unmarried. Show your regressions, Null Hypothesis, and calculations/conclusions.