# delimit ;
set memory 5000;
*************************************************;
* Administrative Commands;
*************************************************;
set more off;
clear;
log using ch6_ee.log,replace;
*************************************************;
* Read in the Dataset;
*************************************************;
use cps98.dta;
desc;
**************************************************************;
*;
*;
**************************************************************;
* Question 1;
regress ahe age female bachelor, robust;
dis "Adjusted Rsquared = " _result(8);
* Question 2;
generate lnahe = ln(ahe);
regress lnahe age female bachelor, robust;
dis "Adjusted Rsquared = " _result(8);
* Question 3;
generate lnage = ln(age);
regress lnahe lnage female bachelor, robust;
dis "Adjusted Rsquared = " _result(8);
* Question 3;
generate age2 = age*age;
regress lnahe age age2 female bachelor, robust;
dis "Adjusted Rsquared = " _result(8);
test age age2;
* Question 9;
generate fem_bac=female*bachelor;
regress lnahe age age2 female bachelor fem_bac, robust;
dis "Adjusted Rsquared = " _result(8);
test age age2;
* Question 10;
generate fem_age=female*age;
generate fem_age2=female*age2;
regress lnahe age age2 fem_age fem_age2 female bachelor fem_bac, robust;
dis "Adjusted Rsquared = " _result(8);
test age age2 fem_age fem_age2;
test fem_age fem_age2;
test age age2;
* Question 11;
generate bac_age=bachelor*age;
generate bac_age2=bachelor*age2;
regress lnahe age age2 bac_age bac_age2 female bachelor fem_bac, robust;
dis "Adjusted Rsquared = " _result(8);
test age age2 bac_age bac_age2;
test bac_age bac_age2;
test age age2;
log close;
clear;
exit;