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An Investigator Hired by a Client Suing for Sex Discrimination

question 15

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An investigator hired by a client suing for sex discrimination has developed a multiple regression model for employee salaries for the company in question. In this multiple regression model, the salaries are in thousands of dollars. For example, a data entry of 35 for the dependent variable indicates a salary of $35,000. The indicator (dummy) variable for gender is coded as X1 = 0 if male and X1 = 1 if female. The computer output of this multiple regression model shows that the coefficient for this variable (X1) is −4.2. The t test showed that X1 was significant at α = .1. This result implies that for male and female workers of the company,


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