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Short run proportions are often quite different from long-run probabilities.
1. In your own words, explain why we would expect proportions to fluctuate in the short run, but why long-run probabilities are more predictable?
2. What is the expected long-run probability of heads if you flip a coin many time? Why?
3. Flip a coin 10 times in a row. What proportions is heads? Do this 5 times.
4. Do the proportions in part c match the expected long-run probability in b? Why or why not
5. Imagine that a friend flipped a coin 10 times, got 9 out of 10 heads, and complained that the coin was biased. How would you explain to your friend the difference between short term and long term probability?
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US imports oil at the world price, $90 per barrel. The domestic supply curve in barrels per day is S = 1500000 + 150000P with P in dollars. Domestic demand curve is D = 65,000,000 - 500000P. Draw the US demand and supply curves for oil and indi..
market researchers at chrysler estimated the demand for their new chrysler crossfire sports cars as followsqc 1050000
Suppose we have an economy in which G = 100, t = 0.26, Y = 3800, and YN = 4000. Then t rises to 0.28 as the same time as G rises to 1150. The overall impact of this resettling of the fiscal variables is ________ because ________.
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State the rule for optimum input allocation to produce a given level of output at the lowest possible cost -when two inputs are variable and the prices of the inputs are given- and describe why it makes sense
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