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Final Project of Economics 570, Spring 2023

Due by Midnight, May 6, 2023 in PST

Guidelines

❼ The final project will be done in groups of randomly assigned members.

❼ The due day is midnight on May 6, 2023 in PST.

❼ A late submission will not be accepted. No exception.

❼ There are no formal requirements for formatting or citation style for the written report,

so long as citations and formatting are clear and consistent. Please make a front page that includes the project title, group number, and the group members’names.  As a rough guideline for length, you can plan on a length of about 5 pages (not counting the front page) (double spaced in 12 point font, not including figures and tables).

❼ The report should include a short introduction, a description of data, econometrics/ML model and method used in the analysis, discussions of your finding.

❼ Your R coding should be submitted as an appendix to the report.

❼ You can communicate only with your group members. Any types of communica- tions with other groups are not allowed and considered as cheating.

Final Project

The final project data loaded in blackboard is a part of 1990-1998 Natality Data Sets which are publicly available through the National Center for Health Statistics.  The project is to estimate the causal effects of mother’s smoking (smoke) on baby’s birth weights (dbirwt).

The variables in the data set are as follows:

❼ momid3: identification number of the mother

❼ idx: index number of a mother’s birth (1: the first baby, 2: the second baby); momid3

and idx together describe the panel structure of the data

❼ stateres: code (1 through 51) for state of residence; see a separate file state code .csv

for state names

❼ dmage: age of mother (in years)

❼ dmeduc: education of mother (in years)

❼ mplbir: state code (1 through 51) for mother’s state of birth

❼ nlbnl: number of live births now living

❼ gestat: length of gestation (in weeks)

❼ dbirwt: birthweight (in grams)

❼ cigar: number of cigarettes smoked per day (99=unknown)

❼ smoke indicator variable for smoking status (1=smoker, 0=nonsmoker)

❼ male: indicator variable for baby gender (1=male, 0=female)

❼ year: year of birth (0=1990, ..., 8=1998)

❼ married: indicator variable for marital status (1=married, 0=unmarried)

❼ hsgrad: high-school graduate indicator (constructed from dmeduc)

❼ somecoll: some-college indicator (constructed from dmeduc)

❼ collgrad: college-graduate indicator (constructed from dmeduc)

❼ agesq: age of mother squared

❼ black: indicator variable for black race (1=black, 0=white)

❼ adeqcode2: indicator that Kessner index = 2

❼ adeqcode3 indicator that Kessner index = 3

❼ novisit: indicator that no prenatal visit occurred

❼ pretri2: indicator that first prenatal visit occurred in 2nd trimester

❼ pretri3: indicator that first prenatal visit occurred in 3nd trimester