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In a simple regression model (one X variable only), if the t statistic for the slope is 2.5, what is the value of F. State the null and alternative hypothesis for both tests. How important is the assumption of a normal error term in using the t test?
An investor buys a 3.5% 20-year bond with a face value of $10000 for $10414.22. If the purchaser holds the bond to maturity, how much is the present value of the purchase at an ROI of 3.69% per year compounded semi-annually?
Elucidate how does the theory of the industry provide an integrated framework for the analysis of managerial decision making.
What is the marginal rate of substitution (MRS) and why does it diminish as the consumer substitute's one product for another. Use examples to illustrate.
the variable expend is expenditures per student, in dollars, and math 10 is the pass rate on teh exam. The following simper regression relates math10 to lexpend= log(expend). Comment on what happens to the coefficient on lexpend. Is the spending coef..
Purpose of the business in terms of the product or service you intend to provide through your business
A competitive firm’s production function is y = 6√ x1 + 8√ x2. The price of factor 1 is $1 and the price of factor 2 is $4. The price of output is $8. How much of each factor should the firm use to maximize its profit? How many units of output will t..
Suppose that consumers become more pessimistic about future income and lower their autonomous consumption. With no government response, this would ___________ short-run output. If the Fed wanted to counteract this change, it should __________ the Fed..
The Constant Elasticity of Substitution function. Determine the returns to scale of this production function. Find σ, the elasticity of substitution. Express K/L as a function of w/r. How does the relationship between K/L and w/r change when ρ chang..
In macroeconomics from williamson (4th edition) in chapter 11, it says that demand for credit is R=q (totally elastic), but in williamsons notation, R is in nominal terms and q in real terms. Isnt that mistaken? Shouldn’t it be r=q? (r=real interest ..
Which partner has the comparative advantage in cake baking? Explain. Plot their combined PPC, including the number of cakes and pies at each of the three corners.
Walt considers x and y to be perfect substitutes. They originally cost $10 and $9 respectively. His income is $720. One day the price of x drops to $8.
Specific areas of health care that you think may be worse off than others. Special population, communities or geographic areas that may be worse off compared to others. What about the uninsured and the under insured, do you think that they deserve wh..
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