Reference no: EM131263714
PURPOSE:
The purpose of this assignment question is to enhance the skill of the students to estimate demand functions and to appreciate their usefulness in the real world.
REQUIREMENT:
You have been presented with the following data and asked to fit statistical demand functions:
|
PERIOD
|
QUANTITY
|
PRICE
|
INCOME
|
ADVERTISING
|
|
1
|
120
|
8.00
|
10
|
3
|
|
2
|
165
|
4.00
|
22
|
7
|
|
3
|
120
|
7.00
|
20
|
5
|
|
4
|
165
|
3.00
|
20
|
8
|
|
5
|
180
|
4.00
|
30
|
8
|
|
6
|
90
|
10.00
|
19
|
6
|
|
7
|
150
|
4.00
|
18
|
10.2
|
|
8
|
190
|
1.60
|
25
|
9.3
|
|
9
|
160
|
5.00
|
30
|
8
|
|
10
|
200
|
2.00
|
35
|
9.5
|
Linear Relationship
i. Identify the dependent and independent variables.
ii. Estimate a linear relationship between the dependent variable and all the independent variables.
iii. What are the tests that you would use to determine the "goodness-of-fit" of the estimated demand function? Conduct the tests and explain the results.
iv. Discuss the economic implications of the various coefficients.
v. Compute the price elasticity of demand and income elasticity of demand in period 10. Elaborate your answers.
Non linear relationship.
i. Estimate a logarithmic form of the demand function.
ii. Is the estimated demand function "good"? Why or why not?
iii. Compare with the linear form above. Elaborate.
|
Increase in the demand for export
: Assume that there is a large increase in the demand for export. show the resulting short-run equilibrium on your graph. In this short-runequilibrium, is the unemployment rate likely to be higher or lower than t was before the increase in exports? ..
|
|
Find a stable marriage matching for the instance
: For each of its marriage matchings, indicate whether it is stable or not. For the unstable matchings, specify a blocking pair. For the stable matchings, indicate whether they are man-optimal, woman-optimal, or neither. (Assume that the Greek and R..
|
|
What types of ongoing or specialized treatment you require
: What types of health issues, if any, do you suffer from? - What types of ongoing or specialized treatment do you require? - What types of treatment are available to you in the destination country?
|
|
Discuss the contingency plans to defuse the situation
: Discuss who would be involved in the response and planning. Give reasons if you think the death of OBL has made the United States a bigger terrorist target.
|
|
Dependent variable and all the independent variables
: i. Identify the dependent and independent variables. ii. Estimate a linear relationship between the dependent variable and all the independent variables. iii. What are the tests that you would use to determine the "goodness-of-fit" of the estimated ..
|
|
Does policy or law dictate an appropriate response
: Is there a moral problem presented in the scenario? If so, what is it? Does policy or law dictate an appropriate response, or does it require that professional discretion be applied? What criteria (considerations), principles, and consequences should..
|
|
Implement the maximum-matching algorithm
: Experiment with its performance on bipartite graphs with n vertices in each of the vertex sets and randomly generated edges (in both dense and sparse modes) to compare the observed running time with the algorithm's theoretical efficiency.
|
|
What are the major components of strategic management
: What are the major components of strategic management, and why is each component needed for success? Why are an organization's mission and values important to strategy formulation?
|
|
Crucial role in the farm economy
: These play a crucial role in the farm economy and the food processing sector. Thanks to modern agriculture, farmers have doubled the production of world food supplies since 1960, tripled the output of foods like cooking oils and meats, and increas..
|