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Use the Salkever indirect method to compute forecasts and their standard errors for the logarithmic demand function for your category of expenditure. Add dummy variables to the last four observations and hence obtain the prediction errors for these years, given a regression based on the first 32 observations. Subtract these from the actual outcomes to obtain the forecasts. Derive a confidence interval for the forecast for 1994.
Compute the discount factor 1/(1+r)^t for r=1, 5, or 10 perent interest rates and t=30 and 50 years. remember that 1 percent is .01. based on your computation, is teh choice of discount factor important for deciding whether to do somehtinga bout..
The U.S. mint, which produced billions of coins each year, has a mean defect rate of 5.2 coins per day. Let X be the number of defective coins produced on a given day. What is the probability of exactly 5 defective coins on a given day
The demand for widgets is found to be Q=100-11P +0.5Y, where P is the price of widgets in dollars, Y is average income in thousands and Q is the quantity of widgets in thousands. Say that P=7 and Y=50.
Using the regression results and other computations from Assignment 1, determine the market structure in which the low-calorie food company now operates.
A political commentator argues: "Congress and the president are more likely to enact an expansionary fiscal policy than a contractionary fiscal policy because expansionary policies are popular and contractionary policies are unpopular." Briefly ex..
Describe the effect of this change in units on the estimated regression coefficients and their standard errors, t and F-statistics, p-values, and the value of R 2 .
The price of the stock is $48 and the risk-free rate of interest is still 8% per annum. What is the value of the short position in the forward contract
Moorea spends all of her income on Mochi Frozen Yogurt which costs $1 per cup. She makes $400 per month but lives in a bad neighborhood and is robbed of half her money 20% of the time. Assume YN and YR represent her consumption of yogurt in cups..
a selfless person approaches Jones and Smith with a $100 bill and offers to sell it to the highest bidder, but both the winning and the losing bidders must pay her their bids. so if jones bids $2 and smith bids $1 they pay a total of $3, but jones..
Do you expect union activity to increase or decrease globally? Please explain.
A family wants to start an education account in 2010 (1st payment at year end 2010) by making equal annual payments in constant 2010 dollars until the time of the last tuition payment. Calculate the equal annual constant 2010 dollar payment.
Jill earns more than Bob and she came by her income fairly and honestly. Which of the following political philosophies would argue against the redistribution of income from Jill to Bob?
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