Question: Using the data set in WAGE2.RAW for this problem. As usual, be sure all of the following regressions contain an intercept.

i. Run a simple regression of IQ on educ to obtain the slope coefficient, say ₁.

ii. Run the simple regression of log (wage) on educ, and obtain the slope coefficient, ₁.

iii. Run the multiple regression of log (wage) on educ and IQ and obtain the slope coefficients, beta1 hat + beta2 hat, respectively.

iv. Verify that ₁ = beta1 hat + beta2 hat (₁)