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The results of a study using focused comparison techniques showed that two independent variables distinguished between successful and unsuccessful negotiations with the US on security issues. These variables were type of political system and relations with the US. The questions raised are: Which variable is stronger? Do the two variables interact. A follow-up study was conducted on a larger sampling of nations. Political systems (variable 1) were of three types: authoritarian, quasi democratic, democratic. Relations (variable 2) were divided into close ties (allies) and tensions (antagonists). The dependent variable was coded on a scale ranging from 1 (history of successful negotiations) to 5 (history of failed negotiations).
Your job is to determine the relative strength of the independent variables - or if they interact. Based on the results, draw conclusions regarding the impact of these variables on negotiation success. The data is as follows (there are 8 nations in each of the six categories):
Authoritarian Quasi democratic Democratic
Allies 1 2 3
4 1 2
3 2 2
4 3 3
3 2 3
3 1 1
Relations 2 3 1
(Variable 2) 3 2 1
5 3 3
5 4 4
Antagonists 4 4 3
3 4 4
5 4 2
3 3 3
Derive the profit function P (p) and the supply function (or correspondence) y (p)for the following three Single-output technologies, whose production functions f (z) are:
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