My dependent variable is the UK average salary.
My independent variables are:
-household income (to take into account the effect of family background on earnings)
-enrolment in tertiary education
-government expenditure on education
-unemployment rate
-recession (as a dummy variable testing the 2006-2010 period)
I would like to include a cognitive ability variable but it is too difficult to collect data.
At the moment, I have only been able to find good data when the units are in millions so my coefficients in the regression are massive.
I will attach the latest regression I have done which to me doesn't look correct.
I would be grateful if you could help and possibly give me any suggestions on how I should go about this project.
