Assuming that you are trying to determine the true effect of how years of education affect career earnings (Earningsi = ?0 + ?1Educationi + Ui), and that this effect is positive (i.e., all else equal more years of education lead to higher career earnings, ?1 > 0). What would be the likely induced correlation between Education and Ui of receiving a sample that only had individuals that made over $85,000?

A. Positive
B. Negative
C. There is not enough information.
D. None of the answers is correct.


Answer: B

Biology & Microbiology

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