Critique each of the following research agendas. You should explain:
– What is the problem with the proposal?
– How can you improve it?
– Do you need additional data? If yes, what data do you need?
Your answers to the four following questions should not exceed 500 words.
a. Gender bias: A student is interested in investigating whether there is gender bias in terms of salary in a big manufacturing firm. He starts to collect data on total compensation (salary + bonus) and the genders of all employees. He then splits the data into two groups: Female and Male based on the reported gender. His plan is to compare the mean of compensation of the two groups to see if they are
significantly different from each other.
b. Car price: A student wants to investigate whether the age of a used car affects its market price. He collects data on the sale price and the age of cars from some randomly selected garages. Next, he checks for the relationship between sale price and age and sees that it is linear. Finally, he uses OLS to regress sale price on age and report the coefficient.
c. GPA: A student wants to study the relation of college’s GPA and time spent on various activities. He distributes the survey to some randomly chosen students on the campus. In the survey, there are four categories: study, sleep, work, and leisure, and the respondents are asked to allocate their 168 hours (in a week) to these four categories. Then, he regresses each respondent’s GPA on four variables study, sleep,
work, and leisure corresponding to the time spent on each activity.
d. Alcohol addiction: A student wants to examine whether alcohol addiction is a factor that leads to lower life quality. He conducts a wide-scaled interview survey on randomly chosen people to get data on the daily average number of drinks. He then asks people to rank on a scale of 1 to 5 how much they are satisfied with their life. Finally, he uses OLS to regress the life satisfaction (from 1 to 5) on the number of drinks per day.