4. Consider the following estimated semilog equation: = -8.10+ 0.100ED,+ 0.11 EXP where SAL = salary...
You are asked to investigate the
return to experience (1.e., the increase in salary for an additional
year of teaching experience) for college teachers. You first propose the
following econometric model: sal = Bo + Bi expi+ B, D + u (4A) where
sal, is the monthly salary of a college teacher, exp, is years of
teaching experience, and D, is a dummy variable (which is 1 if the
teacher has a doctoral degree and is otherwise). You then estimate...