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Question 1: 1.1. Discuss the differences among decision making under:
(i) certainty, (ii) risk, (iii) uncertainty.
1.2. Give the technique that results in a pessimistic decision and the one that results in an optimistic decision.
1.3. What is the main difference between the expected monetary value and the expected value with perfect information?
1.4. List 3 pitfalls of regression analysis.
1.5. Briefly explain what information is provided by an F-test
1.6. Discuss the relationship between r 2 and adjusted r 2 . Further, explain which of these take into account the number of independent variables.
Describe how trade deficits or surpluses can influence the growth of productivity and GDP.
There are several other key features of Passive Continental Margins. Can you describe and explain some of these key features? Answer in 75-100 words.
A firm operating under an Oligopoly faces the following demand curves for a price increase and a price decrease respectively:
Toyota is considering building a production facility in Pakistan. On the Index of Economic Freedom (IEF), Pakistan scores a 99. Which of the following are reasons the IEF rating might cause Toyota to be hesitant about building the factory?
Tom gains utility from consumption C and leisure L. The most leisure she can consume in any given week is 112 hours. His wage is $20. His utility function is U(C,L) = C^3/4*L^1/4. Tom receives 640 each week from her great-grandmother. What is the mar..
A firm has two variable factors and a production function y = (2x1 + 4x2)1/2. Without taking any derivatives, determine the technical rate of substitutionbetwee
Justine collects vintage comic books. When prices for all other goods are fixed at current levels, her demand function for original superman comic books is S = .02m – 2p. In this equation, m is her income, p is the price of superman comics and S is t..
Outline 5 relationships between total utility and marginal utility
Five ways in wich transnet can become more competitive
To increase tax revenue, the US government in 1932 imposed a two-cent tax on checks written on deposits in bank accounts (In today’s dollars, this tax was about 25 cents per checks) Use the model of the money supply under fractional-reserve banking t..
Using a correctly labeled graph of the money market, show the impact of the central bank's bond action on the nominal interest rate.
Some scholar criticize the IMF for imposing harsh terms in its conditionality agreements with poor countries. Others applaud them for requiring reforms before giving any funds. If you were a world leader negotiating with the IMF, what would you be wi..
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