Question

Let kids denote the number of children ever born to a woman, and let educ denote years of education for the woman. A simple model relating fertility to years of education is

Answer 1

Kids = β(0) + β(1) educ + E

Explanation:

Kids = β(0) + β(1) educ + E

Where "E" stands in for other factors, such as maybe an error in the estimated age of the mother, an error in the predicted income level, or even an error in religion. And we all know for certainty, that whereever education is being discussed, age and income would always be related.