1. Ceteris paribus literally means ________________. *

a. Randomized control trial

b. Selection bias

c. All other things being equal

d. Conterfactual

2. Say you want to study the econ value of additional education. Suppose you have access to data on people with different levels of schooling. Which among them might be best to compare? *

a. Females growing up in one state.

b. Twins growing up in the same household.

c. Individuals from the same zip code.

d. Twins separated at birth but living in the same state.

3. Private school grads earn 14% more than public school grads on average. What sorts of control variables are likely to get you closer to a ceteris paribus comparison? *

a. Differences in ambition between the two groups.

b. Differences in test scores between the two groups.

c. Differences in family background.

d. A and B only.

e. All of the above.

4. You’re interested in the economic value of majoring in economics instead of art history. How best might you learn about the causal effect of an economics major on future earnings? *

a. Compare earnings of economics majors with those of art history majors in the United States.

b. Compare earnings of economics majors with art history majors with similar test scores and ambition.

c. Compare earnings of economics majors with art history majors from the same school.