Consider two variables which reflect for an individual in a certain population (1) hours worked and (2) their effective hourly wage rate. Do you think those two variables are independent? Explain. What is the average income for an individual in the population described above? Write this in terms of key moments (that is, expectations or "special expecta- tions" such as the variances or covariance) of the two variables.

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08-07-2024
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Consider two variables which reflect for an individual in a certain population (1) hours worked and (2) their effective hourly wage rate. Do you think those two variables are independent? Explain. What is the average income for an individual in the population described above? Write this in terms of key moments (that is, expectations or "special expecta- tions" such as the variances or covariance) of the two variables.

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