Log file for part a )

ssc install bcuse

bcuse wage1

regress wage educ exper expersq female married

predict e , residuals

describe

gen sqre=e^2

describe

regress wage educ exper expersq female married

hettest female

regress sqre female.

___ ____ ____ ____ ____ (R)

/__ / ____/ / ____/

___/ / /___/ / /___/ 14.0 Copyright 1985-2015 StataCorp LP

Statistics/Data Analysis StataCorp

4905 Lakeway Drive

MP - Parallel Edition College Station, Texas 77845 USA

800-STATA-PC http://www.stata.com

979-696-4600 [email protected]

979-696-4601 (fax)
Single-user 8-core Stata perpetual license:

Serial number: 10699393

Licensed to: Irfan

Group

Notes:

1. Unicode is supported; see help unicode_advice.

2. Maximum number of variables is set to 5000; see help set_maxvar.

. ssc install bcuse

checking bcuse consistency and verifying not already installed...

all files already exist and are up to date.

. bcuse wage1

Contains data from http://fmwww.bc.edu/ec-p/data/wooldridge/wage1.dta

obs: 526

vars: 24 26 Jan 2000 12:16

size: 50,496

--------------------------------------------------------------------------------------------

storage display value

variable name type format label variable label

--------------------------------------------------------------------------------------------

wage float %9.0g

educ float %9.0g

exper float %9.0g

tenure float %9.0g

nonwhite float %9.0g

female float %9.0g

married float %9.0g

numdep float %9.0g

smsa float %9.0g

northcen float %9.0g

south float %9.0g

west float %9.0g

construc float %9.0g

ndurman float %9.0g

trcommpu float %9.0g

trade float %9.0g

services float %9.0g

profserv float %9.0g

profocc float %9.0g

clerocc float %9.0g

servocc float %9.0g

lwage float %9.0g

expersq float %9.0g

tenursq float %9.0g

--------------------------------------------------------------------------------------------

Sorted by:
. regress wage educ exper expersq female married

Source | SS df MS Number of obs = 526

-------------+---------------------------------- F(5, 520) = 56.11

Model | 2509.41565 5 501.883131 Prob > F = 0.0000

Residual | 4650.99864 520 8.94422815 R-squared = 0.3505

-------------+---------------------------------- Adj R-squared = 0.3442

Total | 7160.41429 525 13.6388844 Root MSE = 2.9907

------------------------------------------------------------------------------

wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]

-------------+----------------------------------------------------------------

educ | .5530181 .0507066 10.91 0.000 .4534032 .6526329

exper | .2473047 .0379464 6.52 0.000 .1727576 .3218517

expersq | -.004306 .0008175 -5.27 0.000 -.0059119 -.0027

female | -2.093885 .2655276 -7.89 0.000 -2.615524 -1.572246

married | .159796 .3047044 0.52 0.600 -.4388069 .7583988

_cons | -2.315195 .7393795 -3.13 0.002 -3.767733 -.8626573

------------------------------------------------------------------------------

. predict e , residuals

. describe

Contains data from http://fmwww.bc.edu/ec-p/data/wooldridge/wage1.dta

 obs: 526

vars: 25 26 Jan 2000 12:16

size: 52,600

--------------------------------------------------------------------------------------------

storage display value

variable name type format label variable label

--------------------------------------------------------------------------------------------

wage float %9.0g

educ float %9.0g

exper float %9.0g

tenure float %9.0g

nonwhite float %9.0g

female float %9.0g

married float %9.0g

numdep float %9.0g

smsa float %9.0g

northcen float %9.0g

south float %9.0g

west float %9.0g

construc float %9.0g

ndurman float %9.0g

trcommpu float %9.0g

trade float %9.0g

services float %9.0g

profserv float %9.0g

profocc float %9.0g

clerocc float %9.0g

servocc float %9.0g

lwage float %9.0g

expersq float %9.0g

tenursq float %9.0g

e float %9.0g Residuals

--------------------------------------------------------------------------------------------

Sorted by:

Note: Dataset has changed since last saved.

. gen sqre=sqr[e]

sqr not found

r(111);

. gen sqre=e^2

. describe

Contains data from http://fmwww.bc.edu/ec-p/data/wooldridge/wage1.dta

obs: 526

vars: 26 26 Jan 2000 12:16

size: 54,704

--------------------------------------------------------------------------------------------

storage display value

variable name type format label variable label

--------------------------------------------------------------------------------------------

wage float %9.0g

educ float %9.0g

exper float %9.0g

tenure float %9.0g

nonwhite float %9.0g

female float %9.0g

married float %9.0g

numdep float %9.0g

smsa float %9.0g

northcen float %9.0g

south float %9.0g

west float %9.0g

construc float %9.0g

ndurman float %9.0g

trcommpu float %9.0g

trade float %9.0g

services float %9.0g

profserv float %9.0g

profocc float %9.0g

clerocc float %9.0g

servocc float %9.0g

lwage float %9.0g

expersq float %9.0g

tenursq float %9.0g

e float %9.0g Residuals

sqre float %9.0g

--------------------------------------------------------------------------------------------

Sorted by:

Note: Dataset has changed since last saved.

. regress wage female

Source | SS df MS Number of obs = 526

-------------+---------------------------------- F(1, 524) = 68.54

Model | 828.220467 1 828.220467 Prob > F = 0.0000

Residual | 6332.19382 524 12.0843394 R-squared = 0.1157

-------------+---------------------------------- Adj R-squared = 0.1140

Total | 7160.41429 525 13.6388844 Root MSE = 3.4763

------------------------------------------------------------------------------

wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]

-------------+----------------------------------------------------------------

female | -2.51183 .3034092 -8.28 0.000 -3.107878 -1.915782

_cons | 7.099489 .2100082 33.81 0.000 6.686928 7.51205

------------------------------------------------------------------------------

. regress wage educ exper expersq female married

 Source | SS df MS Number of obs = 526

-------------+---------------------------------- F(5, 520) = 56.11

Model | 2509.41565 5 501.883131 Prob > F = 0.0000

Residual | 4650.99864 520 8.94422815 R-squared = 0.3505

-------------+---------------------------------- Adj R-squared = 0.3442

Total | 7160.41429 525 13.6388844 Root MSE = 2.9907

------------------------------------------------------------------------------

wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]

-------------+----------------------------------------------------------------

educ | .5530181 .0507066 10.91 0.000 .4534032 .6526329

exper | .2473047 .0379464 6.52 0.000 .1727576 .3218517

expersq | -.004306 .0008175 -5.27 0.000 -.0059119 -.0027

female | -2.093885 .2655276 -7.89 0.000 -2.615524 -1.572246

married | .159796 .3047044 0.52 0.600 -.4388069 .7583988

_cons | -2.315195 .7393795 -3.13 0.002 -3.767733 -.8626573

------------------------------------------------------------------------------

. rvgplot female

command rvgplot is unrecognized

r(199);

. rvplot female

command rvplot is unrecognized

r(199);
. het female

command het is unrecognized

r(199);

. predict e , residuals

variable e already defined

r(110);

. hettest female

Breusch-Pagan / Cook-Weisberg test for heteroskedasticity

Ho: Constant variance

Variables: female

chi2(1) = 34.16

Prob > chi2 = 0.0000

. regress sqre female

Source | SS df MS Number of obs = 526

-------------+---------------------------------- F(1, 524) = 10.34

Model | 5341.61614 1 5341.61614 Prob > F = 0.0014

Residual | 270769.305 524 516.735315 R-squared = 0.0193

-------------+---------------------------------- Adj R-squared = 0.0175

 Total | 276110.921 525 525.925564 Root MSE = 22.732

------------------------------------------------------------------------------

sqre | Coef. Std. Err. t P>|t| [95% Conf. Interval]

-------------+----------------------------------------------------------------

female | -6.379016 1.984044 -3.22 0.001 -10.27667 -2.481357

_cons | 11.89831 1.373279 8.66 0.000 9.2005 14.59612

------------------------------------------------------------------------------