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ECON-4200_Winter_2022_Assignment_1 TRENT UNIVERSITY DEPARTMENT OF ECONOMICS ECON-4200H: ADVANCED TOPICS IN ECONOMETRICS ASSIGNMENT 1 DUE: MARCH 1, 2022 Question 1: The data utilized here are from:...

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ECON-4200_Winter_2022_Assignment_1
TRENT UNIVERSITY
DEPARTMENT OF ECONOMICS
ECON-4200H: ADVANCED TOPICS IN ECONOMETRICS
ASSIGNMENT 1
DUE: MARCH 1, 2022
Question 1:
The data utilized here are from: Biblarz and Raftery (1993). "The Effects of Family Disruption
on Social Mobility", American Sociological Review, 58(1):97-109.
(a) Describe the dataset’s contents.
(b) Estimate a multinomial logit model to explain how a son’s occupational choice (SO) is
influenced by his father’s occupational choice (FO), whether his family was intact (NI), and
his own minority status (minority). (Use SO category 1 at the base category. Note that the
variable n contains the number of cases characterized by the SO, FO, NI, and minority
values. Control for frequency weights in your mlogit command to account for what are
effectively duplicated cases. Note also that the FO variable is categorical, so you will need
to create and use a series of dummy variables to capture its effects on SO.)
(c) Interpret the results of your estimation. What do these results tell us about intergenerational
social mobility?
Answered Same Day Mar 03, 2022

Solution

Suraj answered on Mar 03 2022
95 Votes
Solution 1:
(a)
The description about the data set columns is given as follows:
SO: This variable denotes the son’s occupational choice. This is a categorical variable and there are total 4 different categories names 1, 2, 3, and 4.
FO: This variable denotes the father’s occupational choice. This is a categorical variable and there are total 4 different categories names 1, 2, 3, and 4.
NI: This is a categorical variable with two different categories 0 and 1 denoting whether his family was intact or not. 1 denote the...
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