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Annual incomes for heads of household in a section of a city have approximately a gamma distribution with α = 20 and β = 1000.
a Find the mean and variance of these incomes.
b Would you expect to find many incomes in excess of $30,000 in this section of the city?
c Applet Exercise What proportion of heads of households in this section of the city have incomes in excess of $30,000?
A geometrically increasing series of 15 ends of year payments is deposited to fund an account. The first payment is $75,000 the geometric factor is 5%.
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A firm's production function
Maria is training for a triathlon, a timed race that combines swimming, running and biking. Because her pool sessions are helping her swim more quickly, Maria plans to reduce by one hour per week the time she spends training on the bike and increase ..
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