Consider the following case. The government aims to evaluate the impact of for- poor-students program (Bantuan Siswa Miskin) on students' test scores (out- come, Y). A researcher use the following regression specification to estimate the model: Test Score; = a + BBSM₁ + TX₁ + €i where i indicates student and BSM is a binary variable with a value of 1 if student i's receives BSM.
Consider the following case. The government aims to evaluate the impact of for- poor-students program (Bantuan Siswa Miskin) on students' test scores (out- come, Y). A researcher use the following regression specification to estimate the model: Test Score; = a + BBSM₁ + TX₁ + €i where i indicates student and BSM is a binary variable with a value of 1 if student i's receives BSM.
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter4A: Problems In Applying The Linear Regression Model
Section: Chapter Questions
Problem 5E
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a. Explain whether the specification uses a pre-post or a simple difference method? Discuss the counterfactual in the specification above.
b. Using the specification above, discuss whether you would be able to estimate an unbiased estimate on the effect of BSM on students' test scores
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