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The release of two out of three prisoners has been announced. but their identity is kept secret. One of the prisoners considers asking a friendly guard to tell him who is the prisoner other than himself that will be released, but hesitates based on the following rationale: at the prisoner present state of knowledge, the probability of being released is 2/3, but after he knows the answer, the probability of being released will become 1 /2, since there will be two prisoners (including himself) whose fate is unknown and exactly one of the two will be released. What is wrong with this line of reasoning?
The energy Department estimates that domestic demand for natural gas will grow by more than 40 percent between now and 2025. Distinguish between a demand function and a demand curve.
The ABC Company has a large order for special uniforms to be used in an urgent operation. Working the normal two shifts of 40 hours each per week, the ABC production process usually produces 2, 500 uniforms per week at a standard cost of $120 each..
TO reproduce Table 1 in the paper, the data summary, on page 8. Note that the months involved are January 1994 through September 2000.Create an excel spreadsheet that has a column of months ranging from Jan 1994 to Sep 2000. Divide the risk free r..
The older yourt factory has reduced the price of its popular Mmmm Sundae from $2.25 to$1.75. As a result the firm's daily sales of these sundaes have increased from 1,500/day to 1800/day. Compute the arc price elasticity of demand over this price a..
Would you expect equilibrium income to rise or fall as a result of this change? Why? Check your answer with the following example: Suppose that, initially, c .8, t .25, and Y0 600. Now let ? 10 and ?TR 10.
In each of the following, solve the given quadratic equation exactly using the quadratic formula. Write the solutions in its simplest form. Using a calculator, determine all irrational solutions to the nearest thousandth.
According to the recent CNBC and the Wall Street Journal poll, 40% of the American public approves of the way the President of the United States is handling his job. Take a random sample of n = 10 Americans. And let X equal the number who gives ap..
List and describe the variables , other than price, thet cause a shift in the supply curve
What is investment? Why does investment decrease when the real interest rate increases? What role do expectations play in investment?
in the keynesian cross, the consumption function is c=200+0.75(Y-T). planned investment is 100, govt purchase and tax are both 100. a)graph planned expenditure as a function of income. b)what's the equilibrium level of income.
Suppose that an investor has a choice between buying this security or purchasing a different security that also costs $3,000 today but pays off $3,300 with certainty in one year. How is an investor's choice of which security to purchase related to..
Interpretation of the magnitude of the coefficients, and calculation of economic values such as elasticities, etc., if appropriate - Comment on functional form. Have you considered functional forms other than the linear form?
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