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Calculate E(X2) for X defined in Exercise R.2.
Exercise R.2
A random variable X is defined to be the larger of the two values when two dice are thrown, or the value if the values are the same. Find the probability distribution for X.
New Zealand rewrote the charter of its central bank in the early 1990s to make low inflation its only goal. Why would New Zealand want to do this?
Protection of property rightsd. Openness to tradee. Low tax ratesf. Good public infrastructureg. Low population growth
A series of 10 annual payments of $7,500 is equivalent to three equal payments at the end of years 6, 10, and 15 at 15% interest compounded annually. What is the amount of these three equal payments
given the following variables in the open economy aggregate expenditure model, autonomus consumption=200, autonomus investment=200, government spending=100, export spending=100, taxes=0, marginal propensity to consume=0.8
The widget industry in Springfield is competitive, with numerous buyers and sellers. Consumers don't differentiate among the various brands of widgets (no product differentiation). The industry demand curve is given by: Qd = 998 - 5Pw + 4 Y - 6Pg
Assume no change in current productivity or current labor supply in either country. What is happening to financial flows? Why?
A firm's demand function is defined as Q = 30 - 2P. a) Use this demand function to calculate total revenue when price is equal to 10 and when price is equal to 11. b) What is marginal revenue equal to between P=10 and P=11
Throughout the problem set, we assumed that net taxes do not depend on income (that is, net taxes are a lump sum). However, in reality, taxes do vary with income. Suppose Bodinia and Goldland are two economies that are exactly the same in every as..
A duopoly faces a market demand of p=120-q. Firm 1 has a constant marginal cost of MC1=20. Firm 2's constant marginal cost is MC2=40. Calculate the output of each firm, market output, and price if there is a Stackelberg equilibrium with firm 1 as t..
The "graying of America" will substantially increase the fraction of the population that is retired in the decades to come. To illustrate the implications for U.S. living standards, suppose that over the 49 years following 2009 the share of the p..
Bob Nale is the owner of Nale's Quick Fill. Bob would like to estimate the mean number of gallons of gasoline sold to his customers. Assume the number of gallons sold follows the normal distribution with a population standard deviation of 2.30 gal..
Jodie earns 25,000 atthe end of year 1,when the CPI was 460. If the CPI at the end ofyear 2 is 504, what would Jodie have to earn at the end of year 2to maintain a constant real wage.
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