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Assume that Jane spends her entire income of $100 on two goods, x and y. Moreover, these goods are perfect complements for her. Let the price of good x go up while the price
Hedging ?nancial risk is a very important practical issue in economics. In this exercise, you will derive your optimal hedge ratio, assuming that you are an expected utility maxim
Help with how to calculate a value from the dickey fuller test
1. What are the two roles that prices play in a competitive economy? How are these two roles related to the Fundamental Theorems of Welfare Economics? 2. The Undercover Economis
Suppose an economy has the following Real money demand Function: L(Y,i) = 1000 + 0.3Y - 4000i, where i is the nominal interest rate paid on non-monetary (financial) assets,
about t-ratio test under multicolinarity
A firm has the following inverse demand function: where Q is Quantity and P is Price (a) Find the firm's marginal revenue function. (b) Find the level of out
what is the source of heteroseedasticity
explain the method with an example
Following the general methodology used by econometricians as explained in the session for week 1 (eight steps), explain how you would proceed to determine if a good complies with t
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