21 Jul WHAT ARE THE STEPS YOU TAKE TO GET THE MODEL IN B.?
Use the ATUS-CPS file to answer this question. The dependent variable in this question is PEHRFTPT Show more Use the ATUS-CPS file to answer this question. The dependent variable in this question is PEHRFTPT which asks if one works full-time or not. Options 2 and 3 are considered part-time. (30 points) Hint: you should recode the PEHRFTPT variable so that it is 1 if PEHRFTPT== 1 and 0 if PEHRFTPT takes all other values except missing. a. Use your domain knowledge and intuition to pick 4-6 variables that are meaningful determinants of whether one works full-time. For example your variables should represent demographic and family backgrounds and your variables should not be a direct function of PEHRFTPT e.g. number of hours worked. Briefly explain your reasoning. b. What is the best model for predicting PEHRFTPT? Explain your reasoning in details. c. What are the steps you take to get the model in b.? Explain in details. d. Do you think there is endogeneity in the model? Why or why not? e. Regardless of your answer in d. if there were endogeneity in the model what are some methods that can be used to fix this issue? Briefly explain these methods. Data set found here: http://www.filedropper.com/atusresp2014 Show less
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