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Biotechnology. A biotechnology firm in Boston is planning its investment strategy for future products and research labs. A poll found that only 8% of a random sample of 1012 U.S. adults approved of attempts to clone a human.
a) Find the margin of error for this poll if we want 95% confidence in our estimate of the percent of American adults who approve of cloning humans.
b) Explain what that margin of error means.
c) If we only need to be 90% confident, will the margin of error be larger or smaller? Explain.
d) Find that margin of error.
e) In general, if all other aspects of the situation remain the same, would smaller samples produce smaller or larger margins of error?
Suppose we have private values but types are correlated. Find the optimal auction amongst the class of all-pay auctions.
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