I am finishing up an econometrics assignment and this problem has me stuck.
I have estimated a regression equation for ln hourly wages on a gender dummy variable, several race dummy variables, a quadratic form of experience, and education.
ln(hourly wages) = β0 + β1female + β2black + β3american_indian + β4asian + β5other + β6education + β7experience + βexperience^2
I now want to re-estimate my model allowing the relationship between experience and wages to differ by sex.
I know I need to include the βexperience*female but do I also need to include βexperience^2*female?
I apologize if my notation is a bit off. Any help/explanation is greatly appreciated.