STATISTICAL ANALYTICS
Instructions
1. Answer all questions.
2. Use STATA Do-File when answering the following questions. You may however use
Microsoft word when interpreting the results.
Question 1
a) Use the data set installed in STATA labelled “nlsw88.dta”. Describe the variables and
indicate whether they are numerical or categorical. List all the numerical variables and all
the categorical variables. [10 marks]
b) Summarize all the variables by providing appropriate descriptive summary statistics.
[10
marks]
c) Compare variability among numerical variables. [6 marks]
d) Tabulate race, married, never married, collgrad, south, smsa, c_city, industry, occupation
and union. [10 marks]
e) Summarize wage by:
i. Race [2 marks]
ii. Collgrad [2 marks]
iii. Married [2 marks]
iv. South (location) [2 marks]
v. C_city [2 marks]
vi. Union [2 marks]
f) Graph a histogram for wage with a normal density curve and one with a kernel density
curve. Explain the shape of wage distribution. Do the same for grade and age. In addition,
graph some pie charts for marital status, south and union. [12 marks]
Question 2
a) Test and briefly explain the difference in mean wage between the following groups:
i. Collgrad [5 marks]
ii. Married [5 marks]
iii. Union [5 marks]
iv. South [5 marks]
b) Compute the correlation between wage and the following variables. Briefly explain.
i. Hours [5 marks]
ii. Ttl_exp [5 marks]
iii. Tenure [5 marks]
iv. Grade [5 marks]
c) Draw scatter graphs combined with a line for the following and explain the nature of the
relationships:
i. Wage and hours [5 marks]
ii. Wage and Grade [5 marks]
iii. Wage and Tenure [5 marks]
iv. Wage and Ttl_exp [5 marks]
v. Wage and age [5 marks]