Southern Illinois University Data Estimation and Analysis Discussion What would be your answer to the following queries?(1) Stata (or Excel) refuses to estimate four seasonal (summer, fall, winter, spring) coefficients when I enter the quarterly data including a zero-one dummy for each quarter. What am I supposed to do? Explain.(b) I have data on medical expenditures on a sample of individuals. Some of them, who did not have any ailments, or did not bother to go to the doctor even if they had ailments, had no expenditures. I wish to estimate the income elasticity of medical expenditures. I am thinking of dropping the individuals with zero expenditures and estimating the model by OLS. My friend says I would be overestimating the income elasticity by doing this. Is she correct? Why?
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