(Answered) Suppose the hourly wages for male workers is given by

Engineering

Suppose the hourly wages for male workers, is given by W_im = 7 + 0.75X_im and the wages for female workers is given by W_iF= 6 + 0.60X_iF, where w is the wage and X is the years of education.

(a) Suppose the average years of education for male and female workers are 14 years and 15 years, respectively. What is the average wage for male workers? Female workers?

(b) What is the wag gap/differential between male and female workers? How much of the gap is explained by differences in educational characteristics? How much of the gap is not explained by differences in educational characteristics?

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