Dependent variable wage
OLS OLS with
robust SE
WLS 2SLS
educ 0.064*** 0.064*** 0.066*** 0.114***
exper 0.014*** 0.014*** 0.015*** 0.032***
age -0.010 -0.010 -0.028 -0.121
age2 0.0003 0.0003 0.001 0.002
black -0.241*** -0.241*** -0.233*** -0.167***
urban 0.188*** 0.188*** 0.182*** 0.177***
constant 5.618*** 5.618*** 5.911*** 6.761***
Observations 935 935 935 722
R2 0.206 0.206 0.199 0.155
Adjusted-R2 0.201 0.201 0.194 0.148
F Statistic (df=6; 928) 40.199*** 40.199*** 38.387*** N/A
Note: *p<0.1;**p<0 . 05;***p<0 01 This is the data given. I have to choose which model is best to use. How should I start it off? What is the important aspects to evaluate which is the best model to use? Shall I test for heteroskedasticity and endogeneity first and then determine if the OLS is the best way to use it or not. Also, I thought it was important to have the standard errors to make a good judgement.