Suppose you flipped an honest coin ten times and heads came up eight times. You are about to toss the coin another ten times. Using adaptive expectations, how many heads do you expect? Based on rational expectations, how many heads do you expect?

Because neoclassical economists assume that people are rational decision makers, they Multiple Choice are able to make better predictions about economic behaviors and outcomes. ignore the mental processes by which these decisions are made. believe that people never make suboptimal decisions. believe it is best to limit the number of options people have available.

In 2019 the Dutch Parliament decided they were going to arbitrarily close 50% of their livestock farms. Soon after this, the Canadian Government was rumored to be on the verge of implementing an extremely large tax on Farm fertilizer used (upwards of 35-40% depending on where you looked). Assume they do go ahead with this rumored idea, what happens next, what is the fallout in the Economy and how will it impact you? Is this a good idea?

QUESTION 2 Which one of the following is the best example of someone acting according to the assumptions of the traditional neoclassical model? O A firm decides to make T-shirts out of organic cotton because of its commitment to environmental protection. O Chip buys an exercise machine based on a TV ad, even though research has shown that the machine is ineffective. Alenia buys groceries for her sick neighbor out of kindness. Dori studies hard for her test so she can eventually land a great job. Marc buys a pack of cigarettes out of habit.

What’s wrong with the rational actor model? Under what conditions is it appropriate for analyzing the economy?

Please don't use AI to solve these questions

In Spring 2020, the U.S. economy once again found itself in an economic crisis, this time due to the COVID-19 pandemic. Which approach did the U.S. government follow in regards to the economy—Keynesian or Neoclassical?  Explain.

Table: Choice with Uncertainty Norman, a high school English teacher, is trying to decide whether to leave his job to work as a writer for a proposed television sitcom. His teaching job pays $40,000 per year and he is guaranteed $25,000 for the first year whether or not the sitcom makes it to television, $50,000 if it makes it to television but is not the most viewed show in its time slot, and $100,000 if it makes it to television and is the most viewed show in its time slot. Norman wants to maximize his total utility and his utility function as shown in the table. Income $ 25,000 30,000 35,000 40,000 45,000 50,000 55,000 60,000 65,000 100,000 Total Utility (in utils) 1,500 1,900 2,250 2,550 2,800 3,000 3,150 3,250 3,300 3,500 (Table: Choice with Uncertainty) Use Table: Choice with Uncertainty. Suppose that the probability that the sitcom does not make it to television is 50%, that it makes it to television but is not the most viewed show in its time slot is 30%, and that it makes it…

What is an assumption of a Neoclassical model? a. The future is uncertain b. Output increases when demand in the economy increases c. There is full employment in the economy d. Governments should have a balanced budget   Answer correct and explain within 30 mins will give you positive feedback.

You're a staffer working for Senator Joe King, a diehard opponent of minimum wages. The Senator wants to persuade other members of Congress to oppose a new proposal to raise the minimum wage. He needs you to calculate the cost to society of a $17 minimum wage according to the neoclassical model of labor markets. Suppose the market for labor has the equations LD= 172 - 4W LS= -30 + 23W where W is the wage and L is the number of workers. Give your answer in dollars, rounded to the nearest integer.