Create a dummy variable “labour” which is equal to 1 for everyone in the labour force, and 0 for those who are not in the labour force. Anyone who is employed, self-employed, unemployed or on parental leave is in the labour force. How many observations are in the labour force, and how many are not? Make sure to exclude missing values. Tabulate the variables labour and sex and show the results. If an individual is female, what is the probability that she is in the labour force? What are the labour force participation rates among men and among women? Is there a significant difference between the two at the 99% significance level?
c) Among those who have positive labour income, is there a statistically significant difference (at the 95% level) in the average labour income between men and women?
d) Among those who have positive labour income, is there a statistically significant difference (at the 95% level) in the variance of labour income between men and women?
