BOSTON COLLEGE
Department of Economics

EC 228 01 Econometric Methods
Prof. Baum, Mr. Chen, Fall 2012
http://fmwww.bc.edu/ec-c/f2012/228/

Problem Set 2

Due at classtime, Thursday 4 October 2012

Problem sets will not be accepted after their due dates. Please make sure your name is legible on each page of your answers.

For some of these problems (those referencing the Wooldridge datasets), you must use Stata, but will not make use of the RAW files listed in the text, as all of these data are available in Stata format over the Internet. Access the files with the bcuse command, e.g., bcuse wage1 from within Stata. Hand in a printout from Stata, annotated with your comments.

I recommend you construct (and save) a Stata do-file that performs the analysis; that way you can redo it if necessary without retracing your steps. The "log" icon in the Stata toolbar may be used to create a file containing both your commands and Stata's response. It may be easier to work with a text-format log; the command 'log using ps2.log' will create a text log. If you save the log, you can access it from your appsstorage.bc.edu directory without connecting to apps.bc.edu or running Stata.

You are encouraged to review the "Worked examples", linked to our course home page, at 

http://fmwww.bc.edu/gstat/examples/wooldridge/wooldridge.html
which illustrate many Stata commands' use in the context of the textbook examples.


For further assistance with Stata, please consult your lab instructor.