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Sixteen cars are ?rst driven with a standard fuel and then with Petrocoal, a gasolin with a methanol additive. The results of the nitrous oxide emissions (NOx) test are as follows:
Type of fuel Average NOx Standard deviation of NOxStandard 1:075 0:5796Petrocoal 1:159 0:6134Source: Micheal O. Finkelstein and Bruce Levin, Statistics for Lawyers,Spring-Verlag, New York, 1990, p.230.
a. How would you test the hypothesis that the two population means are the same?
Over which range of production, the marginal product of the variable input would be increasing in the short run.
Explain why might the private market not reach the socially optimal level of traffic without the help of government.
An industry can be characterized by the following production function. Explain how would you characterize the returns-to-scale in the industry.
Suppose that you are the owner and operator of a perfectly competitive firm with the following total cost function.
Compute the numerical elasticity of long-run demand. Is it unitary, elastic, inelastic, etc. Explain why would consumers demand 0 minutes in the long run if the price was $.30 per minute.
Elucidate why Pizza Hut has expanded its offerings of pizza over the past five decades
Forecasters predictions of inflation are notoriously inaccurate, so their expectations of inflation cannot be rational.
Identify three types of competition that most firms encounter other than competition from other firms in their industry in their home country.
A construction company is bidding on a project comprising five high-rise buildings to be erected one after the other.
Examine the key factors affecting the demand for and the supply of a good or service
If salary and prices are completely flexible, then an unfavorable productivity shock would raise both the natural rate of unemployment and the actual unemployment rate.
Jimmy has a room which overlooks, from some distance, a major league baseball stadium.
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