What is the variance

Assignment Help Macroeconomics
Reference no: EM13335139

You produce a product that will earn $100,000 if there is a recession and $100,000 if there is no recession (i.e. the same regardless). The probability of a recession is 50%. What is the variance?

Reference no: EM13335139

Questions Cloud

What is the npv if the discount rate is 15 percent : Briarcrest Condiments is a spice-making firm. Recently, it developed a new process for producing spices. The process requires new machinery that would cost $2,459,972.
Admission office or the pharmacy : You have been appointed Project Manager of your facility to determine whether you should automate your Admission Office or the Pharmacy.
Distinguish between private and social costs and use : Distinguish between private and social costs and use this distinction to explain why the air in cities is so polluted from automobile exhaust fumes. Examine how government can try to correct this externality.
What is joshs average angular acceleration : When Josh begins his discus throwing motion, he spins with an angular velocity of 5 rad/s. Just before he releases the discus, what is Josh's average angular acceleration
What is the variance : You produce a product that will earn $100,000 if there is a recession and $100,000 if there is no recession (i.e. the same regardless). The probability of a recession is 50%. What is the variance?
What torque is created by the dumbbell about the elbow joint : Katherine is attempting a biceps curl with a 100 N dumbbell. She is standing upright, and her forearm is horizontal. What torque is created by the dumbbell about the elbow joint
List three factors that can change the economy : List three factors that can change the economy's potential output.What is the impact of shifts of the aggregate demand curve on potential output?Illustrate your answers with a diagram.
What are the financial statements presented in the report : What are the financial statements presented in the report and how many disclosures are in the report and what was the net income of the company? Explain the revenues and the expenses components.
How long will it take you to save an adequate amount : How long will it take you to save an adequate amount for retirement if you deposit $2,500 per quarter year into an account beginning today that's pays an effective annual rate (EAR) of 4 percent

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd