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Two situations are explained below. Identify and explain whether each is a natural experiment or not.
i. We are interested in identifying the impact of the size of the police force on the number of robberies committed in Washington, DC. Two economists have noticed that the number of police in Washington, DC fluctuates with the terror alert level. The terror alert level represents how likely it is that a terrorist attack will happen.
ii. We are interested in identifying the impact of prenatal visits on infant health. An economist notices that there is a great deal of variation in the number of prenatal visits mothers attend due to the amount of insurance coverage they have. Mothers will tend to have better insurance when they are married, more educated, and working.
Design a simple econometric research project
Multiplicative decomposition method
The Australian government administers two programs that affect the market for cigarettes.
Solve the forecast model
What are the marginal abatement cost functions for each of the two areas? Calculate the loss in the two areas due to over-control (for the rural area) and under-control (for the urban area).
Explain why this model violates the assumption of no perfect collinearity. Write the t statistic for testing the null hypothesis
What is economics system? What are the types of economics system? Briefly explain each type of economics system by giving examples of nations that are close to each type
Determine when a competitively produced product generates negative externalities in production, the industry will,
Assume a company has the following production function: Q = 100 K.5 L1 . Currently, the company hires 1,000 workers and employs 100 units of capital.
M-commerce also known as mobile commerce is being lumped in with several strategic internet plans. Explain some of the industries that are likely to use mobile commerce and how it is working for them.
Auto Data manufactures custom engineering testing machine. The following 5-orders are currently in the design department:
Briefly discuss the difference between mechanism of an oral or English auction and a Vickrey or second price auction.
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