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(a) Alalyze full the assumption of "homocedasticity" of a CLRM. Moreover, which are the differences wit heteroscedasticity?
(b) Analyze fully the assumption of specification bias and use an example to show your intuition.
Bond rating agencies such as Moody's publish rankings of the credit quality of corporate borrowers. AAA rated corporations have the lowest level of default risk followed by AA and A the Baa, etc. Under what circumstances would the spreads between yie..
Write an essay on the transformation of credit in the US economy. How did this happen (key events and new financial products?)? How has macroeconomics accounted for this transformation? Explain the terms ‘procyclical Leverage’ and ‘procyclical liquid..
q1. what is true about using the least squares method of plotting an estimated regression line on a scatter diagram?q2.
Why is the system set up in a way that things like campus shooting even occur in the first place? What precautions should be set up to make sure guns fall into the right hands?
Suppose that the level of capital in the economy is 200 units, the depreciation rate is 10%, and the level of investment is equal to 10 units. In this case:
Elucidate " "Clearly explain the factors to consider as your "fixed factor" and alternative short term and long-term decisions. Submit your analysis in a one to three page paper. "
An industry is a duopoly. Each firm produces an identical type of product and has identical long run average costs of $10 per unit. The market demand curve is Q=40-P. In this fake world, each firm can produce a non-integer quantity of product. If the..
Suppose Spain produces only cars and digital cameras. The resources that are used in the production of these two goods are specialized—that is, some resources are more suitable for producing cars than digital cameras, whereas others are more suitable..
Trang has strictly convex indifference curves and is indifferent between the bundles (16, 2) and (2, 4). Use the definition of strict convexity to show that Trang prefers (9, 3) to (2, 4).
In recognition of the post-purchase role of promotion, what strategies would you suggest for; (a) a busy hospital emergency room, (b) an executive fitness program that provides health screening and fitness evaluation, and (c) an occupational medicine..
If supply at every price is reduced by five gallons, what will the new equilibrium price be.
Provide a written definition of the output supply curve, Ys. Graphically derive the output supply curve, Ys, for the real intertemporal model with investment. Be sure to show all graphs and all work. Provide a written definition of the output demand ..
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