ECON4060H Assignment 4, machine learning ECON4060H Assignment 4, machine learning 01 April 2022 20 points in total. Due by April 08 11:59PM Eastern Time. Computer programs must be submitted in their...

hi assignment needs to be done in python. question paper is attached, as well as data sets and and sample code


ECON4060H Assignment 4, machine learning ECON4060H Assignment 4, machine learning 01 April 2022 20 points in total. Due by April 08 11:59PM Eastern Time. Computer programs must be submitted in their original formats. DO NOT submit your code in pdf files. This assignment asks you to train a linear regression model to predict hourly earnings of workers. Hourly earnings should be in the natural logarithm. The training data and the test data are random samples from the Labor Force Survey (LFS) 2021. You can follow these steps: 1. Select the independent variables. If you know how, you can also let the machine learning algo‑ rithm to process and select the set of independent variables. All variables selected should have proper values and be cleaned. 2. Estimate the model without regularization, and use the parameter estimates to predict using the test sample data. Report the parameter estimates, and the MSE of prediction. 3. Train themodel. You candecide to use Ridge, Lasso, Elastic Net, or all of them for regularization. Among themLasso is recommended. Instead, youcanalsochoose thebestmodelbycomparing them. 4. Report the training results, including the cross‑validation MSE, the penalty parameter, etc. 5. Predict using the test sample data. Report the MSE of prediction. Shutao Cao 1