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You have a utility function given by U = 10 lnI. where I represents the monetary payoff from an investment. You are considering making an investment which, if it pays off, will give you a payoff of $100,000, but if it fails, it will give you a payoff of $20,000. Each outcome is equally likely. What is the risk premium for this lottery?
What does it mean when substitution effect equal zero? explain with graph and example what does it mean when income effect equal zero? explain with graph and example
Bolivia's real GDP per capita is growing at a rate of 1.3%, which would we expect in the long run Assume real GDP per capita in the United States begins at a level above that of real GDP per capita in Bolivia.
What is the mean number of blank pixels per square foot? What is the standard deviation of blank pixels per square foot? What is the probability that a 2 ft by 3 ft screen will have at least one defect?
Shaw, Barry, Issa and Catley (2013) state society attitudes such as the tendency to view the natural world as ‘free and unlimited good' has led to or increased our environmental problems.
Which of the two specifications fits the data better? How can you tell? What is one advantage of running a logit regression instead of estimating a linear probability model with OLS?
Let X be a discrete random variable that is the value shown on a single roll of a fair die. (a) Represent the probability density function f(x) in a tabular form (b) What is the probability that X=4? That X=4 of X=5
If we have a demand curve which can be described by Pd= 72.33-1.76Q, and we have a starting price of $50, what happens to TR when the price falls to $40 Find whether MR is positive or negative
A concept car that will get 100 miles per gallon and carry 4 persons would have a carbon-fiber and aluminum composite frame with 900 cc three cylinder turbodiesel / electric hybrid power plant. The extra cost of these technologies is estimated to ..
Consider a hypothetical island with only ten people. Eight have income of $10,000, one has income of $50,000, and one has income of $100,000.
Develop a theory or hypothesis about some economic relationship - draw conclusions to support your theory. Include at least six (6) references (no more than three years old) from material outside the text(s).
consider a monopolist facing the market demand p=100-2q. Marginal cost equals to 10; How many unit will t produce At what price Compute and identify in a graph: monoplist profit, consumer surplus and deadweith loss.
Describe key elements of the role that Congress plays within the U.S. federal system, with particular focus on Congress' ability to reflect the will of the people. Support your argument with at least two concrete examples.
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