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Problem:
(a) Differentiate between linear and log-linear model.
(b) Distinguish between type I and type II errors.
(c) (i) A bulb manufacturer claims that its bulbs last 36000 hours, on average. A consumer believes that it is actually less and plans to test this by assessing the lifetime of bulbs on a sample of 35 bulbs and tests these assumptions at significance level of 0.05. If the standard deviation of bulb life is 4000 hours, what is the probability of a type II error if the actual mean lifetime of the bulb is 33000 hours?
(ii) Given that the significance level is 0.005, what is the probability of a type II error if the actual mean lifetime of the bulb is 32500 hours?
QM2 Econometric Project As part of the course requirements you have to undertake an econometric evaluation of an economic issue using data that you have gathered either from the ho
Determine the four stationary points of the function Z= 2x 3 +y 3 -18x -12y +50 according to whether they define a maximum, minimum, or saddle point.
The tab-delimited text file contains daily stock prices for the Brazilian petroleum company Petrobras from 31 December 2008 to 31 December 2009. The data were obtained from yahoo f
Peter's utility function is u(x, y) = x + 2y where x is the number of ounces of coffee and y is the quantity of sugar in grams. Let unit prices be given by P x = 6 cents, P
demand function(qd)=650-5p-p2 where p=10
You have collected data for 104 countries to address the difficult questions of the determinants for differences in the standard of living among the countries of the world. You rec
I could not understand the matrix of technical coefficents
Assume the price elasticity of cigarettes is 0.25. By how much would prices have to increase to get a 20% reduction on smoking?
Probelm: (a) Differentiate between homoscedasticity and heteroscedasticity. (b) Outline the reasons why the variances of disturbance term may vary. (c) Given the 3 observ
Assume that the allowance Peter receives from parents is his only income. He used to spend $30 a month to buy Coke at $.60 per can. Coke is an inferior good for Peter. Further a
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