Hi everyone, I am new to STATA and have a question about a returns to education regression I would like to run. My goal is to find out if returns to education differ for U.S. citizens vs. non-citizens. This is the functional form that I think would be most appropriate: log of wages= B0+ B1 years of education+ B2 male+ B3 experience + B4 experience^2+ B5 citizenship. What are your thoughts? Do you recommend I add or subtract anything? Also, I was thinking about adding an age and age^2 parameter, but the way in which I am calculating experience is ( age-years of education-6) therefore, I thought that would cause collinearity between age and experience? I would be appreciative of any feedback.
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