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There is a 50 percent chance of making $0, a 40 percent chance of making $100, and a 10 percent change of losing $100. Calculate the expected value and variance of the payoff. How does your estimate compare to the previous problem.
Consider the following model of trade between Iceland and Finland. There are two goods: Fish and Wheat. The only factor of production is labor. Compute the equilibrium relative price of fish under free trade, and draw the budget lines for a typical w..
Also, assume that the “target market” has 1 Household and 1 Graphic Designer (a simple way of representing equal proportions of each type of customer). The marginal cost of production is $0. If Adobe sells only to Graphic Designers, what is the optim..
In Japan, 90-day securities have a 4% annualized return and 180-day securities have a 5% annualized return. In the United States, 90-day securities have a 4% annualized return and 180-day securities have an annualized return of 4.5%.
The sales director for an industrial supplies firm has collected information describing the performance also personal characteristics of 80 members of her sales force.
The shape of Russia’s production possibilities frontier (PPF) should reflect the fact that as Russia produces more camcorders and fewer cars, the opportunity cost of producing each additional camcorder
Revenue from sales = $5,000,000, cost of production = $2,500,000, depreciation = $100,000, and the combined state and federal tax rate = 40%. The tax owed =
According to the lectures in class, although consumption spending is about 70% of the total spending in the US economy (C=70%, I=15%, G=15%) its effect is stronger than 70% on the economy why?
Given the market for corn in equilibrium, show the effect on price and quantity of the following simultaneous occurrences: Good weather results in a 10% increase in the harvest of corn. A medical report is published that concludes that consumption o..
1.Indicate whether a statement below is true or false by writing either T or Fnext to each. If false, give an example where the statement does not hold.
Income inequality and poverty affect us in many ways we may not think about. Gregory W. is a homeless man in Louisiana who was arrested for stealing food from a grocery store. What would be a fair way to hold this man accountable for his theft? When..
Describe the ways in which international business has changed over the last 50 years. Include the concepts of an MNC and the different types of foreign investment. Give specific examples.
Write down a health production function that depends on the two inputs: quantity of medical care and hours of exercise. That is, provide the functional form along with either numerical values of parameters, or (at a minimum) signs of the parameters o..
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