A. From model (1), what is the estimated return to education for: i) black workers; ii) non-black workers? (2pts) b. Based on the estimated model (1) and with a 5% significance level, how significant is the impact of the variable tenure 2 on workers’ wages. (State clearly your null and alternative hypotheses, the statistics to be used, and your conclusion) (2 pts). c. Provide a possible rationale for the presence of the variable tenure 2 in the models estimated above. (1pt) d. Holding everything else constant, what is the estimated effect of an additional tenure year on the wage of: i) a black worker? ii) a non-black worker? (2pts) e. From model (1), at what estimated number of tenure years does an additional year actually lower the predicted log(wage) for: i) a black worker? ii) a non-black worker? (2 pts) f. From model (1), calculate the estimated effect of the 25th tenure year on the wage of: i) a black worker; ii) a non-black worker. (2pts). g. From the estimated equation (1), provide an appropriate interpretation for each of the coefficients associated to the variables black, educ, and educ*black. (3pts) h. What is the estimated percentage wage difference between black and non-black workers? (1pt) i. Based on estimated models (1) and (2), and with a 5% significance level, test whether being black has a statistically significant impact on worker’s earnings (state clearly your null and alternative hypotheses, the statistics to be used, and your conclusion). (2 pts)