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Consider Exercise 3 again. Suppose the owner of the trawler can sell all the fish caught for $75 per 100 pounds and can hire as many crew members as desired by paying them $150 per week. Assuming that the owner of the trawler is interested in maximizing profits, determine the optimal crew size.
Suppose that consumtion equals $500 bilion when disposable income is $0, and that each increase of $100 billion in disposable income causes consumption to increase by $70 billion. Draw a graph of the saving function using this information.
Relate these to observed correlations from U.S. data. Does the existence of taste shocks ‘‘help'' the model fit the data better?
calculate the exact elasticity of demand in the following examples: Then tell if, in each case, demand is elastic, inelastic, or unitary elastic. (a) When the price of a deluxe car wash rises from $10.00 to $11.00, the number of daily customers fa..
The price of a pie is now $11 how many pies are sold How many pies does each producer make How many producers are there How much profit does each producer earn c. Is this situation described in part (b) a long run-equilibrium
Calculate and interpret the individual and combined effects of changes to X0 and M0 such that X0 = 150 and M0 = 150 and all other variables remain unchanged.
Use Figure 31.5 on page 672 as a starting point, with an initial permit price of $21 (point b). Whats the new equilibrium price?
. In an all-pairs shortest path problem, suppose that several shortest paths connect node i and nodej. If we use the Floyd-Warshall algorithm to solve this problem, which path will the algorithm choose? Will this path be the one with the least num..
Would a ?rm from a small country be more or less likely to be accused of dumping when it exports to a large country (relative to a ?rm from the large country export- ing to the small country)?
How many workers of each type will employers hire? If workers' abilities are not observed by employers, what is the equilibrium wage? How many workers of each type will employers hire? What is the deadweight loss due to asymmetric information?
What are the properties of the OLS estimator in the presence of multicollinearity
You want to see how differences in fuel efficiency affect the price of a car - Calculate the OLS estimates β^0 and β^1 for the following model using the sample of 11 cars (you must show some of your work):
what are the econometric models supporting currency revaluation and their application
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