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Q1. Using the formula for β^1 and β^0, show what will happen to the estimator of the slope and intercept in the SLR model if y is multiplied by the constant k, and at the same time x is multiplied by the constant m.
Q2. At the local gas station, the price elasticity of demand for gasoline is 0.4 at the current price of $3.50 per gallon and the current quantity demand of 6,000 gallons. The gas station is about to increase the price to $3.85 per gallon. How many gallons of gas will be sold at this higher price?
When Betsy goes to make her list for tomorrow she is upset that she didn't get everything done. In a well-written paragraph explain the economics behind her inability.
In long run, what would you expect to happen to the price of steelin U.S. and Germany. What would be the price differential.
The Solow Growth Model. In 2010, Japan was a large open economy with perfect capital mobility that was at its steady state.
A county is considering using a piece of park land for one of two alternative recreation projects.
Open a pizza restaurant and is considering either selling the bonds and using the 100,000 to start his restaurant or borrowing the 100,000 from a bank which would charge him an annual interest rate of 7 percent.
Challenge of any merger that raises the HHI by 100+ points in a market where the HHI is above 1800 before the merger.
Assume that during the last month of the tenth year of ownership, the property in Problem 2 is sold for 1,500,000. Assume also that the seller incurs transaction costs equalling 6 % of the sales price.
What are the informing factors of global interdependence, including the economic factors, political dynamics and cultural differences.
Why did people believe the difficulties Aisian economies were expericing in 1997-1998
Explain why sharp decline in oil prices might not necessarily have positive or negative impact.
Compare the effects of these two policies in terms of their implications for the current account.
Assuming no other changes, if balances in money market deposit accounts increase by $50 billion and small-denominated time deposits decrease by $50 billion.
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