Reference no: EM131405410
Questions
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1) Suppose astronomers look into their telescopes and see an earth-killing comet coming. They predict it will strike earth in ten years but they have no sure way to deal with it. Use the concepts of this chapter to explain why government would have a role in dealing with this problem, why the market would fail, its options for solving the problem, paying for the problem, and procuring the solution to the problem.
2) Suppose you have three people who are suggesting three social welfare functions for a society of five persons. Person 1 suggests the sum of the utility of each individual (U1+U2+U3+U4+U5). Person 2 suggests using the minimum utility of each individual (the lowest of U1 through U5). Person 3 suggests multiplying the individual utilities together (U1xU2xU3xU4xU5). Now for ease of explanation, imagine society has 10 units of stuff to distribute and that each persons' happiness is the square root of the number of things they have. Which person (1, 2 or 3), do you imagine, is the Democrat and which is the Republican, and which is the moderate and why? What can you tell about their SWFs that causes you to think that?
3) There are two completing theories on breast cancer detection via mammography. The first suggests testing everyone starting at age 40 will spot the most cancers early and therefore lead to greater cure rates. The second argues that the false positive rate on mammography and the number of retests on women under 50 results in more cancers being CAUSED by excessive mammography. (Mammography is an X-Ray of the breast and as a result uses radiation. More radiation leads to more cancer.) Both are theoretically plausible. Explain how a randomized control trial would work to settle this issue. Explain why you could not ask for volunteers for each group.
4) Describe the competing views on whether and how the budget deficit impacts economic growth.
5) Describe why a regulatory solution is less desirable than a tax/subsidy solution when there are polluters with different costs associated with pollution reduction.
6) Describe why public provision of public goods can crowd out private spending on public goods and cite the evidence regarding the degree to which this is the case.
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Determining the lawsuit and litigates
: Honest John s law firm currently charges a $500 fee per lawsuit and litigates 40 cases per month. John, the firm s president, believes that reducing the fee to $450 per case would increase the firm s caseload to 50 per month. The firm could handle..
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What would be appropriate null and alternative hypothesis
: If the reporter were to subject the president's statement to statistical scrutiny by questioning a sample of the company's residential customers, would the test be one-tail or two-tail? What would be the appropriate null and alternative hypotheses..
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Demand for the company product
: The manager of a company notices that the company's total revenue would increase if the manager raises the price of the company's product. Accordingly, the manager can assert that the demand for the company's product is: elastic or inelastic, or z..
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Analyze time interest earned and gross profit margin ratios
: Calculate and analyze the following ratios for your selected company for the last two years from the SEC Form 10-K: Current Ratio, Inventory Turnover, Debt Ratio, Time Interest Earned and Gross Profit Margin.
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Describe the competing views
: Describe the competing views on whether and how the budget deficit impacts economic growth.
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Would given be a type i error or a type ii error
: If the scientist is correct, and the world does not take her seriously, would this be a Type I error or a Type II error? Briefly explain your reasoning.
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What would constitute type i error and type ii error
: For this situation, state the null and alternative hypotheses in verbal terms, then identify what would constitute a Type I error and a Type II error in this situation.
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Briefly describe how investments baking is regulated
: Identify the cost associated with going public. Briefly describe how investments baking is regulated. Describe the inroads into investments banking being made by commercial banks.
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Briefly describe how investments baking is regulated
: Identify the cost associated with going public. Briefly describe how investments baking is regulated. Describe the inroads into investments banking being made by commercial banks.
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