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Suppose that classical least squares assumptions apply and the true value of intercept term or is 0 in following model: yi=alpha + beta xi + epsilon i, Now estimate this model with and without an intercept term and compare the variance of the estimator of the slope term.
The price of pizza can be expressed in terms of gallons of root beer. What is the highest price at which pizza can be traded that would make both roommates better off? What is the lowest price? Explain.
What should the jackpot be before the expected payoff is worth your $1.00 bet. Assume that the state takes 60% of the jackpot in taxes, that no one else is a winner, and that you are risk -neutral.
Describe how changes in the macro environment affect individual firms and industries through the micro economic factors of demand, production, cost and profitability.
Currently AIDS is spreading in china and India. Govt. of these nations fail to stop spread of AIDS what are likely consequences for future economic growth in china and India.
Cameron visits a sporting goods store to buy a new set of golf clubs.
If the Federal Reserve has set the risk-free interest rate at 8 percent, Illustrate is the proper current cost of this investment.
was low at a point and time in past human capital is also relevant never ever use selection bias! Equipment is it investment or is it technological change.
Kramer Smith owns a dry-cleaning service also is thinking about changing his advertising expenditures for the year.
Write the total and marginal revenue functions.
Elucidate what happened to Ikonomia's net foreign assets during 2007. Did it acquire or lose foreign assets during the year.
Use the principles of supply and demand to address a predetermined goal (set by the student) in the gasoline market. Be clear on what the current market indicates and why and what your future goal is.
What percent of the tax is borne by buyers. If income rises to $40,000, how much will tax revenue rise.
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