Refer to Exercise 13.59. If it is true that Republicans (PARTYID3: 1 = Democrat; 3 = Republican) have higher incomes than Democrats, is it because they work harder? a. Conduct a statistical test to determine whether Republicans work longer hours (HRS1).
Exercise 13.59
Republicans tend to prefer smaller less intrusive government and lower taxes. Is this because Republicans have higher incomes (PARTYID3: 1 = Democrat; 3 = Republican)? a. Do the data allow us to conclude that Republicans earn more income (RINCOME) than Democrats? b. Estimate how much more Republicans earn than do Democrats. c. What are the required conditions? Are they satisfied? d. If the required conditions are not satisfied, what other technique should be used? b. Are the required conditions satisfied? c. If the required conditions are not satisfied, what other technique should be used?
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