* R. Carter Hill, William E. Griffiths and Guay C. Lim, * Principles of Econometrics, Fourth Edition, Wiley, 2011. * Chapter 2.9 Regression with Indicator (Dummy) Variables * Data set on house prices. SAMPLE 1 1000 READ (utown.dat) / names SET NOWARNSKIP * Get the average house price in Golden Oaks (utown = 0) SKIPIF (utown.ne.0) STAT price DELETE SKIP$ * Get the average house price in University Town (utown = 1) SKIPIF (utown.ne.1) STAT price DELETE SKIP$ * Estimation (page 75) OLS price utown / COEF=b * Estimated house price in Golden Oaks GEN1 p0 = b:2 * Estimated house price in University Town GEN1 p1 = b:2 + b:1 PRINT p0 p1 STOP