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1. How might government best tackle
(a) structural unemployment and
(b) frictional unemployment?
2. According to a labour force survey the rate of unemployment is 8 per cent. However, according to the claimant count the unemployment rate is 5 per cent. How might this difference in the rate of unemployment be explained? What dilemma does the differ-ence create for government?
Your current wealth level is M=49, and you are forced to make the following wager: if a fair coin comes up heads, you get 15; you lose 24 if it comes up tails. Your utility function is U(X)=sqrt(X). What is the most you would pay to get out of the ..
Discuss the analogy between the K-means clustering algorithm and the EM algorithm for fitting this mixture model in detail. Show that in the limit σ → 0 the two methods coincide.
How does a change in the tax rate affect this level of income?
Suppose insurance companies have access to the results of genetic tests and they require all customers to get the test. How will the insurance company change its price of X insurance?
the percentage undervaluation or overvaluation in the Big Mac, based on exchange rates in July 2009. Suppose purchasing power parity holds and in the long run, so that these deviations would be expected to disappear. Suppose the local currency pri..
Consider a population consisting of two types, "cooperators" and "defectors." Each individual interacts with a randomly chosen member of the population. When two cooperators interact, each earns a payoff of 6.
Let MUa=z=10-x and MUb=z=21-2y, where z is marginal utility per dollar measured in units. x is the amount spent in product A. y is the amount spent on product B. Assume that the consumer that the consumer has $10
Suppose your elasticity of demand for your parking lot spaces is -2, and price is $8 per day. If your MC is zero, and your capacity is 80% full at 9 a.m. over the last month, are you optimizing
Most moonlighting jobs pay less per hour than the worker's basic job. Draw a typical worker's budget constraint. Explain why the budget constraint has a kink at 37 hours of work. Discuss the consequences of the kink in the budget constraint.
Suppose that the amount of saving that occurs at each level of national income falls by $20 but that the values of b and (1 - b) remain unchanged. Restate the saving and consumption equations inserting the new numerical values.
An armada of spaceships that is 1.001y long (in its rest frame) moves with speed O.SOOe relative to a ground station in frame S. How long does the trip take as measured in the messenger's rest frame
Derive an expression for the firm's marginal revenue curve. b. To maximize profit, how many lasers should the firm produce and sell per month c. If this number were produced and sold, what would be the firm's monthly profit
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