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Two fair dice are tossed twice. Find the probability that the sum is 10 or less on the first toss and the sum is 8 or more on the second toss. What is the probability of a five or more on the first toss or 8 or more on the second toss? Are these independent (why)? Are they mutually exclusive (why)?
Assume that the newspaper can't differentiate students from teachers and can only charge a fixed price per article.
In "In Praise of Big Brother" (pp. 203-215), James Stacey Taylor argues for the optimistic conclusion that, with the right legal and procedural safeguards, large-scale governance surveillance would have many positive consequences. What are Taylor's b..
If a small bank's liabilities are long-term while its assets are short-term, when interest rates rise the value of the bank's assets:
The government of France taxes movies that are produced outside of the country at the rate of tx , which effectively subsidizes domestically-produced movies. Is this policy consistent with a Pareto efficient allocation of resources? With the aid of s..
What will the effects of the tax be in the short run on industry output and price. Will the price rise by the full ?ve cents in the short run.
What are the distinctions between net ordinary income and separately stated income and deductions? What is the rationale for separately stating those items as individual K and the K-1?
On Friday night, Elton and his partner Rodney are deciding where to go for dinner. The choices are Indian, Korean, and Mexican. Elton most likes Indian food and most dislikes Mexican food, whereas Mexican is Rodney’s favorite and Indian is his least ..
According to the rule for optimal input usage, a film should hire a person as long as her marginal income product is greater than her marginal cost to the company.
One of the most important concepts discussed in the text is the moral hazard problem. Even though this problem cannot be eliminated completely, it can be reduced through various actions such as the Basel Agreements. I have figured students find moral..
Consider an art auction with two bidders in which the auction procedure is that described in the text. Suppose that the auctioneer raises bids by multiples of one thousand dollars starting at the buyer's reservation price of $2,000 and stopping when ..
Consider two consumers, John and Maria, each with an quantity of two goods: corn and sugar. Suppose now that John has 40 G and 0 S and that his MRS(GS) is 1G/1S. Maria has 20 G and 70 S and her MRS(GS) is 3G/1S. Are there gains to be had for both Joh..
Suppose that Home in a two-sector (i.e., agriculture and manufacturing) specific-factors model has a comparative advantage in manufacturing. If Home were to open up to trade, will Home’s workers be better off, worse off, or are we unable to say the i..
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