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Over the next two years, Susan's income will be $33,000 in the first year and $33,000 in the second year. She can both borrow and lend money at the 10% of annual interest.
(a) What are the present and future (next year's) value of her 2-year income?
(b) Draw Susan's intertemporal budget line for the 2-year period. (c) If the interest rate decreases, how will this affect the present value of Susan's two-year income? Explain and illustrate in the above graph.
A firm manufactures and sells a product that has the following demand function: Q = 180 - 4P where P is price, Q is quantity. It also faces the following
Replicate the estimations in Table 2 on page 82 of Graddy (1995), but excluding the data of King Whiting.
In a year, weather can impose storm damage to a home. From year to year the damage is random. Let Y be the dollar value of damage in a given year. Assume that 95% of the year's Y=$
what is econometrics
a) Design a simple econometric project to identify the factors that affect the demand for a good or service of your preference. Estimate the significance of these factors using mu
what model should i use for economic services and how to run spss for the same?
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In a study relating college grade point average to time spent in various activities, students are asked how many hours they spend each week in four activities: studying, sleeping,
Assume the following table gives the joint PDF (probability distribution function, not Adobe document!!) of two discrete variables, x and Y. Vari
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