What is the variance of u conditional on income, vartul inc)? Consider the following savings model: Where inc income and sav = savings A. var(inc*e) OB. inc*var(e) OC var(sqrt(inc)) OD. var(e) sav = Bo + Brinc + u, u = Vince
Q: A firm with two plants, A and B, has the following estimated demand and marginal cost functions: Qd…
A: Marginal cost is the additional cost incurred to produce an additional unit of output .
Q: All the following constitute unfair methods of competition under California law EXCEPT 1.providing…
A: The answer is - 4.airing a radio advertisement that includes an insurance company's assets available…
Q: Refer to Figure 2,which of the following pairs of price and quantity best represents black market?…
A: Black Market The black market is a market that develops as a result of a shortage of commodities in…
Q: If the output gap is positive, then relative to the neutral interest rate, the Federal Reserve will…
A: Introduction Output gap positive and negative both are not good for economy. Positive output gap…
Q: 10- If labor is on the vertical axis and capital is on the horizontal axis, the slope of an isocost…
A: The line that depicts the various combinations of the inputs that are used which tend to cost the…
Q: The "reformers" of Southeast Asia focused economic policy on tourism socialist principles and the…
A: Answer is given below
Q: Question 5 • Consider a baseline long run steady state equilibrium where output is 20 trillion…
A: Aggregate demand refers to the total demand of goods and services in an economy in a given period of…
Q: Monetary policy involves O altering the money supply to influence the level of economic activity. O…
A: In an economy, there are different types of economic policies used to influence the market outcome,…
Q: 9. The exogenous influences on real estate demand-be able to discuss any potential effect on demand…
A: Since you have asked multiple questions, we will solve first question for you. If you want any…
Q: Which of the following matrices correctly underlines the appropriate strategies for players 1 and 2,…
A: Prisoners dilemma refers to a situation in which each firm adopts it's dominant strategy, but each…
Q: Imagine a scenic canyon, visited by many local people as well as tourists from beyondthe local area.…
A: For making a comparison, we will need following things - 1. number of tourists coming to visit…
Q: Consider an income distribution S: (10, 20, 30, 50, 100). Suppose it is divided into two groups,…
A: Poverty line The poverty line in an economy represents the minimum level of income, which shows the…
Q: When airfares between Santa Rosa and Los Angeles averages $69, the quantity consumed is 42,500…
A: Dear student, you have asked multiple sub-part questions in a single post and have not mentioned…
Q: As a eco-tourism site, the Kubak crystal caves are renowned for their stalactites and stalagmites.…
A: Economic surplus is the amount of all the surplus in the economy for example purchaser surplus and…
Q: Did Soap Operas Reduce Fertility in Brazil?
A: In Brazil, there were no strict rules for a population control policy by the government, and it is…
Q: 9. Measuring imbalances between demand and supply - example 10.How does the office market work…
A: *Hi there as you have posted multiple questions following our guidelines we can only solve the first…
Q: A company is setting up a project to build housing units, and the investment volume is estimated at…
A: * SOLUTION :-
Q: 7. How can expectations affect demand and supply in the real estate market?
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Let's say that the willingness to pay for public goods is given as follows. Assuming that the cost…
A: The public good is non-rival and non-excludable in nature. The aggregate demand for the public good…
Q: What do you think about the income trap - is it a myth or reality? How does the middle-income trap…
A: Indermit Gill and Homi Kharas coined the term "middle-income trap" to describe general phenomena…
Q: Let demand and supply be given by, Qd = 806 - 2P, Qs = -33 + 14P. If a tax is levied on consumers,…
A: Elasticity measures the responsiveness of quantity demanded with respect to change in price. When…
Q: How price equilibrium is achieved?
A: Concept At the point where the AD and AS curves connect, macroeconomic equilibrium leads to wastage…
Q: monopol a few firms making an identical product. many firms making an identical product. a few firms…
A: Gradually monopolistic competition market is called to be as that market where it can be said there…
Q: ANSWER G Suppose market demand for tires in millions is given by the equation QD = 12 – P. Tires…
A: The term deadweight loss of taxation alludes to the estimation of loss brought about by the…
Q: 1% MCIT is not applicable to a. Domestic Corporation b. Resident foreign corporation c. Non…
A: MCIT (Municipal Corporation Income Tax): It refers to the tax that is charged on the gross income.…
Q: Explain average fixed cost (AFC)?
A: Costs are the sums of money spent by producers on various variables of production in order to…
Q: 3_____. Esther, a teenager, gets $8 per hour for babysitting. Steven lives two doors down and turns…
A: Answer: Esther has a fear that Steven may enter the market after turning 15 next month. If Steven…
Q: 1) Roma is considering getting either a used car or a scooter to get back and forth to work. The car…
A: Answer: A car and scooter both can be used to go to the office. Thus these can be substituted in…
Q: Last, extend your analysis to the long run, a period of time long enough for new coffee growers to…
A: Over the long run in a perfectly competitive market — as a result of the course of entry and exit —…
Q: bbbb x o (1) (3) Refer to Exhibit 2-6. Which graph depicts a technological breakthrough in the…
A: PPF refers to the two goods possible combinations that can be produced wit given level of technology…
Q: Explain how the application of monetary and fiscal policy might be used to stimulate a country’s…
A: in Covid19 time most of economies has impacted badly and experienced slowdown phase and with help of…
Q: A poog 0 Let Isla's utility function be U(x, y) = x2y. Of the points on the following graph, which…
A:
Q: Q: Q: Q: Assume that the demand curve D(p) given below is the market demand for widgets: Q = D(p) =…
A: Given; Demand Function; Q=1604-16p Supply Function; Q=-4+8p where; p= Price Q= Quantity
Q: 3. How do the laws of demand and supply work for the real estate market? How do prices/rents change…
A: The measure that depicts various quantities of goods and services being demanded by individuals at…
Q: 2. A certain firm has the capacity to produce 650,000 units of a certain product per year. At…
A: Answer: Given, Maximum capacity = 650,000 units Present output=650,000×62100Present output=403,000…
Q: d. Compute the new equilibrium price and quantity given the excise tax described in part (b). On a…
A: As asked in the question I will be answering part D. Initial Equilibrium Price and Quantity. To get…
Q: Consider a market with a single manufacturer M that sells its product via two retailers. The…
A:
Q: When airfares between Santa Rosa and Los Angeles averages $69, the quantity consumed is 42,500…
A: Original Price = 69 Original Quantity = 42500 Market for air travel can be described by the…
Q: __________ refers to any situation in which disequilibrium is caused by one aspect of a society…
A: At the marketplace, disequilibrium is the situation when there is mismatch between the demand and…
Q: Are revolutions normally followed by radical changes?
A: Revolution:- The overturning or abandonment of an authoritarian regime or governmental class by the…
Q: 10. Using money creation to pay for government spending Consider Snackistan, a hypothetical country…
A: Given; Price of burritos in 2017= $2.00 Amount spent on burritos= $900 a) Quantity of burritos…
Q: Based on the graph: a. In this market, how much is the external cost from the production of each…
A: Given;
Q: Explain the DEMAND FOR THREEOUNCE BOTTLES OF SPRING BREAK SUNTAN LOTION?
A:
Q: How would you best describe the economic profit (or loss) at the profit maximizing quantity q* in…
A: There are a large number of firms manufacturing differentiated items in a monopolistically…
Q: uppose that you have the following demand and supply curve for sneakers Qd 400 - 3P Qs= 200+2p a)…
A: Equilibrium in the market occurs at the intersection point of the demand and supply curve. ------…
Q: I was hoping to get the underlined questions answered as the other ones have already been…
A: Disclaimer: “Since you have asked multiple questions, we will solve the first three sub-part…
Q: Explain Profit Maximization Pricing?
A: Meaning of Cost Plus Pricing: The term cost-plus pricing refers to the situation under which the…
Q: What are the arguments against international free trade and what policies does the government have…
A: International free trade basically refers to the trade between various nations or countries freely,…
Q: 25 20 P d(q) = 20-q/20 s(q) = 11+q/40 9 40 80 120 160 200 (a) Find a price where the supply and…
A: Demand Demand refers to the quantity of a commodity that thr=e buyers in the market are ready to…
Q: How long will it take for an investment of $32,000 in a mutual fund to mature to at least $100,000…
A: Initial investment = $32,000Mature amount =$100,000Growing rate = 12% compounded semi…
Step by step
Solved in 2 steps
- It is sometimes said that, "Those who gamble the most are the ones who can least afford to lose." These people gamble because Group of answer choices the gambler has no family to consider if he/she dies. there is utility other than monetary to consider. the EMV is positive. the EMV is negativeJUST ANSWER SUBPART 1 There are two individuals, Individual A and Individual B. Individual A has an income (Y) of 500 million Rupiah per year. If Individual A is sick, he will lose 25% of his income. Meanwhile, Individual B has an income (Y) of 100 million Rupiah per year, and if Individual B is sick, he will lose 75% of his income. The probability of Individual A and Individual B being sick is the same, which is 10%. If the satisfaction level of Individual A and Individual B is determined by their income level, based on the following function U(Y)=ln Y, would Individual A and Individual B prefer not to have health insurance? Explain Faced with fair actuarially insurance, how much premium is offered to Individual A? Is the premium rate offered the same for Individual B? Explain with the support of graphic illustrations. The government decides to provide compulsory health insurance with a premium rate for Individual A and Individual B, which is 2% of the income of each individual. In…Explain whether the empirical evidence supports the claim that “investors are solely concerned with mean and variance”
- Suppose that there are two types of workers: high and low. Employers cannot distinguish between different types during an interview. Employers value high type at $200,000 and low type at $100,000. Employers are in a competitive market (i.e. zero profit applies). High type workers have a reservation wage of 140,000 and low type workers have a reservation wage of 80,000. Suppose that 50% of all workers are high type. The productivities, reservation wages, and the probabilities are common knowledge). What wage would the employers offer? Please explain the solution!You are modeling a qualitative variable that takes on two classes (classes 1 and 2). In trying to classify observation 11 (out of 20) you compute the conditional probability for class 1 as 0.51. How would you classify this observation?What is sampling? Explain the differences between probability and nonprobability samples and identify the various typesof each
- ADVERSE SELECTIONSomet Health Insurance Company wants to sell a health insurance product for $700 permonth. There is no requirement for healthy people to have insurance coverage. Thecompany conducts a survey to see how different populations respond to the proposed cost.People with no illnesses and disabilities, generally the young and healthy, respond that theydo not spend $700 on healthcare in an entire year, and most feel they would not waste somuch money on premiums when the chance of needing surgery or expensive healthcaretreatments is so small. However, older, sicker people think that $700 per month is a greatdeal, as most of them spend far in excess of this amount on healthcare. It seems like agreat deal for them. What will happen to the costs of the health insurance if only the older, sicker peopleenroll?According to a recent Wall Street Journal article, about 2% of new US car sales are electric vehicles (data from Edison Electric Institute reported by Jinjoo Lee, "Peak Oil? Not This Year. Or This Decade," January 9, 2021 pg. B12). Suppose a company has 111 employees who drive new cars (separately) to work each day. What is the probability that at least one of them will drive an electric car? Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.A presidential election poll contacts 2,000 randomly selected people. Should the number of people that support candidate A be analyzed using discrete or continuous probability models?
- Suppose that a high school student is preparing to take the SAT exam. Explain why his or her eventual SAT score is properly viewed as a random variable.Please do not give solution in image format thanku Two Manufacturers supply food to a large cafeteria. Manufacturer A supplies 40% of the soup served in the cafeteria, while Manufacturer B supplies 60% of the soup that is served. 3% of the soup cans provided by Manufacturer A are found to be dented, while 1% of the cans provided by Manufacturer B are found to be dented. Given that a can of soup is dented, find the probability that it came from Manufacturer B.Mf. Mean variance utility defines risk using certainty equivalent wealth. The lower the certainty equivalent wealth, the lower the mean variance utility. uestion Select one: O True O False Under constant relative risk aversion, the lower the certainty equivalent wealth is than the average wealth of a lottery the riskier the lottery. Select one: O True O False Given a normally distributed risky asset and a risk free asset, a person with a lower CRRA risk aversion coefficient will put less in the risk free asset than a person with a higher CRRA risk aversion. Select one: O True O False Greater risk aversion means a plot of utility vs. wealth would look less curved. Select one: O True O False The greater the wealth, the less the utility of the next dollar of wealth. Select one: O True O False People don't like risk because it means they get poorer when they're poorer and richer when they're rich. In fact, a financial security…