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name: <unnamed>
log: /Users/HRish/Google Drive/Fall 2017 /honors/econ 3313/alcohol_final.log
log type: text
opened on: 30 Nov 2016, 20:18:35

. use "/Users/HRish/Google Drive/Fall 2017 /honors/econ 3313/alcohol.dta"

. sum wgsal days dadhgc momhgc health famsz

Variable | Obs Mean Std. Dev. Min Max

-------------+--------------------------------------------------------
wgsal | 16000 17486.87 24142.42 0 609678
days | 16000 4.862375 6.968229 0 31
dadhgc | 16000 9.412812 5.290383 0 20
momhgc | 16000 10.21206 4.030987 0 20
health | 15751 .0576471 .2330824 0 1
-------------+--------------------------------------------------------
famsz | 16000 3.125062 1.635952 1 15

. *general regression

. reg wgsal days dadhgc momhgc health famsz

Source | SS df MS Number of obs = 15751

-------------+------------------------------ F( 5, 15745) = 159.52
Model | 4.2969e+11 5 8.5938e+10 Prob > F = 0.0000
Residual | 8.4821e+12 15745 538715074 R-squared = 0.0482
-------------+------------------------------ Adj R-squared = 0.0479
Total | 8.9118e+12 15750 565825884 Root MSE = 23210

------------------------------------------------------------------------------
wgsal | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | 260.5361 26.74248 9.74 0.000 208.1177 312.9544
dadhgc | 509.537 41.45509 12.29 0.000 428.2803 590.7937
momhgc | 334.6657 54.24202 6.17 0.000 228.3451 440.9863
health | -7644.247 795.0892 -9.61 0.000 -9202.713 -6085.781
famsz | -1084.8 115.5011 -9.39 0.000 -1311.196 -858.4048
_cons | 11992.47 690.0878 17.38 0.000 10639.82 13345.12
------------------------------------------------------------------------------

. *test for heteroskedasticity

. predict uhat , residuals

(249 missing values generated)

. generate uhat_sqr = uhat^2

(249 missing values generated)

. reg uhat_sqr days dadhgc momhgc health famsz

Source | SS df MS Number of obs = 15751

-------------+------------------------------ F( 5, 15745) = 3.36
Model | 1.6694e+21 5 3.3389e+20 Prob > F = 0.0050
Residual | 1.5669e+24 15745 9.9518e+19 R-squared = 0.0011
-------------+------------------------------ Adj R-squared = 0.0007
Total | 1.5686e+24 15750 9.9592e+19 Root MSE = 1.0e+10

------------------------------------------------------------------------------
uhat_sqr | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
 days | 2.60e+07 1.15e+07 2.27 0.023 3510298 4.86e+07
dadhgc | 2.71e+07 1.78e+07 1.52 0.128 -7792637 6.21e+07
momhgc | 2.88e+07 2.33e+07 1.23 0.217 -1.69e+07 7.45e+07
health | -2.96e+08 3.42e+08 -0.87 0.387 -9.66e+08 3.74e+08
famsz | -2.88e+07 4.96e+07 -0.58 0.562 -1.26e+08 6.85e+07
_cons | -3.31e+07 2.97e+08 -0.11 0.911 -6.14e+08 5.48e+08
------------------------------------------------------------------------------

. test days dadhgc momhgc health famsz

( 1) days = 0
( 2) dadhgc = 0
( 3) momhgc = 0
( 4) health = 0
( 5) famsz = 0

F( 5, 15745) = 3.36
Prob > F = 0.0050

. *robust test

. reg wgsal days dadhgc momhgc health famsz ,robust

Linear regression Number of obs = 15751

F( 5, 15745) = 177.02
Prob > F = 0.0000
R-squared = 0.0482
Root MSE = 23210

------------------------------------------------------------------------------
| Robust
wgsal | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | 260.5361 33.98272 7.67 0.000 193.926 327.1461
dadhgc | 509.537 46.97632 10.85 0.000 417.458 601.616
momhgc | 334.6657 65.94415 5.07 0.000 205.4076 463.9238
health | -7644.247 493.7193 -15.48 0.000 -8611.994 -6676.501
famsz | -1084.8 102.2548 -10.61 0.000 -1285.232 -884.3691
_cons | 11992.47 632.2017 18.97 0.000 10753.28 13231.66
------------------------------------------------------------------------------

. drop uhat

. drop uhat_sqr

. *regression using ln(wage)

. generate ln_wage = ln(wgsal)

(2637 missing values generated)

. reg ln_wage days dadhgc momhgc health famsz

Source | SS df MS Number of obs = 13277

-------------+------------------------------ F( 5, 13271) = 178.12
Model | 923.326524 5 184.665305 Prob > F = 0.0000
Residual | 13758.893 13271 1.03676384 R-squared = 0.0629
-------------+------------------------------ Adj R-squared = 0.0625
Total | 14682.2195 13276 1.10592193 Root MSE = 1.0182

------------------------------------------------------------------------------
ln_wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | .0122733 .0012726 9.64 0.000 .0097788 .0147677
 dadhgc | .026652 .0019986 13.34 0.000 .0227343 .0305696
momhgc | .0138042 .0026216 5.27 0.000 .0086654 .018943
health | -.514636 .0432737 -11.89 0.000 -.5994586 -.4298135
famsz | -.0626867 .0057297 -10.94 0.000 -.0739178 -.0514556
_cons | 9.310097 .0334549 278.29 0.000 9.244521 9.375674
------------------------------------------------------------------------------

. *test for heteroskedasticity

. predict uhat, residuals

(2723 missing values generated)

. generate uhat_sqr = uhat^2

(2723 missing values generated)

. reg uhat_sqr days dadhgc momhgc health famsz

Source | SS df MS Number of obs = 13277

-------------+------------------------------ F( 5, 13271) = 17.70
Model | 736.704718 5 147.340944 Prob > F = 0.0000
Residual | 110464.695 13271 8.32376574 R-squared = 0.0066
-------------+------------------------------ Adj R-squared = 0.0063
Total | 111201.4 13276 8.37612232 Root MSE = 2.8851

------------------------------------------------------------------------------
uhat_sqr | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | -.0084244 .0036058 -2.34 0.019 -.0154923 -.0013565
dadhgc | -.0105125 .0056631 -1.86 0.063 -.0216131 .000588
momhgc | -.0029879 .0074284 -0.40 0.688 -.0175486 .0115727
health | .5311096 .122615 4.33 0.000 .2907667 .7714526
famsz | .1100532 .0162351 6.78 0.000 .0782301 .1418763
_cons | .859773 .0947937 9.07 0.000 .6739637 1.045582
------------------------------------------------------------------------------

. test days dadhgc momhgc health famsz

( 1) days = 0
( 2) dadhgc = 0
( 3) momhgc = 0
( 4) health = 0
( 5) famsz = 0

F( 5, 13271) = 17.70
Prob > F = 0.0000

. *robust test

. reg ln_wage days dadhgc momhgc health famsz ,robust

Linear regression Number of obs = 13277
F( 5, 13271) = 158.38
Prob > F = 0.0000
R-squared = 0.0629
Root MSE = 1.0182

------------------------------------------------------------------------------
| Robust
ln_wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | .0122733 .0012571 9.76 0.000 .0098091 .0147374
dadhgc | .026652 .0021039 12.67 0.000 .0225281 .0307758
momhgc | .0138042 .0028425 4.86 0.000 .0082326 .0193758
health | -.514636 .0526033 -9.78 0.000 -.6177461 -.411526
famsz | -.0626867 .0059806 -10.48 0.000 -.0744096 -.0509638
_cons | 9.310097 .0352405 264.19 0.000 9.241021 9.379174
------------------------------------------------------------------------------

. reg ln_wage days dadhgc momhgc health famsz if wgsal>0

Source | SS df MS Number of obs = 13277

-------------+------------------------------ F( 5, 13271) = 178.12
Model | 923.326524 5 184.665305 Prob > F = 0.0000
Residual | 13758.893 13271 1.03676384 R-squared = 0.0629
-------------+------------------------------ Adj R-squared = 0.0625
Total | 14682.2195 13276 1.10592193 Root MSE = 1.0182

------------------------------------------------------------------------------
ln_wage | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | .0122733 .0012726 9.64 0.000 .0097788 .0147677
dadhgc | .026652 .0019986 13.34 0.000 .0227343 .0305696
momhgc | .0138042 .0026216 5.27 0.000 .0086654 .018943
health | -.514636 .0432737 -11.89 0.000 -.5994586 -.4298135
famsz | -.0626867 .0057297 -10.94 0.000 -.0739178 -.0514556
_cons | 9.310097 .0334549 278.29 0.000 9.244521 9.375674
------------------------------------------------------------------------------

. reg wgsal days dadhgc momhgc health famsz if wgsal>0

Source | SS df MS Number of obs = 13277

-------------+------------------------------ F( 5, 13271) = 92.30
Model | 2.6866e+11 5 5.3732e+10 Prob > F = 0.0000
Residual | 7.7254e+12 13271 582128234 R-squared = 0.0336
-------------+------------------------------ Adj R-squared = 0.0332
Total | 7.9941e+12 13276 602145467 Root MSE = 24127

------------------------------------------------------------------------------
wgsal | Coef. Std. Err. t P>|t| [95% Conf. Interval]
-------------+----------------------------------------------------------------
days | 249.5671 30.15439 8.28 0.000 190.4602 308.674
dadhgc | 516.474 47.35929 10.91 0.000 423.643 609.3049
momhgc | 329.7091 62.12153 5.31 0.000 207.942 451.4761
health | -5823.738 1025.4 -5.68 0.000 -7833.667 -3813.808
famsz | -480.6379 135.7702 -3.54 0.000 -746.7668 -214.5089
_cons | 12956.66 792.737 16.34 0.000 11402.78 14510.53
------------------------------------------------------------------------------

. log close
name: <unnamed>
log: /Users/HRish/Google Drive/Fall 2017 /honors/econ 3313/alcohol_final.log
 log type: text
closed on: 30 Nov 2016, 22:41:46
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