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Experimental Economics
We want to investigate if people are more competitive / cooperative with people of the same gender in a public goods game. We recruited 50 random men from the athletic team and 50 random women from the philosophy class. We implemented an experimental 'within-subject' design in which each participant first plays with a couple of the same gender and then plays with a couple of the opposite gender.
a. What are the problems with this design? Please propose corrections to this design.
b. Comment briefly on the external validity of the experiment (corrected). Come up with two ideas for subsequent study that contribute to external validity (one sentence for each idea).
Assume reductions in the amount of ground level ozone shift the marginal cost of producing alfalfa from MC1= 45 + 2QS to MC2= 45 + 0.5QS. Use the producer surplus to estimate the maximum amount alfalfa producers would be willing to pay for this impro..
Suppose we are using the concepts of supply and demand in the labor market for nurses in Moscow. If a large number of Moscow’s nurses decide they will move to Washington to look for work, how would this be reflected in the Moscow labor market?
Describe two things that can increase the size of the aggregate demand multiplier.
Consider a simultaneous move game between a union and a company. If both the parties bargain hard, each would gain nothing. If only one party bargains hard the accommodating party gets a profit of $1 million while the bargaining party gets a $5 milli..
How would you array the following organizations in terms of the depth and breadth of their product lines: (a) a solo-practice family practitioner who does not deliver babies, (b) a multispecialty group practice that provides primary care at five sate..
Historical data suggest that the probability of cool, damp weather is 30% and that of dry, hot weather is 20%. Find the project's probability distribution.
Explain why physician groups and health service workers’ unions prefer stricter licensure requirements rather than cost control efforts from legislators. What are the most difficult aspects of the Coase Theorem in solving a problem like spread of a d..
Suppose you are asked to evaluate a project in which you will receive $1,000 one year from now, receive $2,000 two years from now, and incur costs of $400 now. What is the net present value of this project if the interest rate is 10%?
Explain why monopolistic competitors earn only a normal profit in the long run. Provide an industry example to illustrate your explanation.
The profit in dollars from the sale of x expensive watches is Px=0.03x2?3x+2x0.3?5000. Find the marginal profit when (a) x=300, (b) x=2000, (c) x=5000, and (d) x=10,000.
International trade can have big effects on domestic markets. For both an import good and an export good (in other words
If you accept the offer calculate resulting profit. Also, calculate the optimal level of output (meter dug) and the level of labor usage.
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