Paddy has lots of cousins. With a family reunion in the near future, Paddy decides to collect income information for himself and all his cousins. He obtains the following data points: Incomes: $52, 000 $22, 000 $92, 000 $8, 000 $118, 000 $62, 000 $38, 000 $14, 000 $132, 000 $46, 000 $26, 000 $96, 000 $54, 000 $110, 000 $80, 000
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- Paddy has lots of cousins. With a family reunion in the near future, Paddy decides to collect income information for himself and all his cousins. He obtains the following data points: Incomes: $52, 000 $22, 000 $92, 000 $8, 000 $118, 000 $62, 000 $38, 000 $14, 000 $132, 000 $46, 000 $26, 000 $96, 000 $54, 000 $110, 000 $80, 000 What is the percentage of income received by the third quintile of the income distribution of Paddy's cousins? Round your answer to the nearest tenth.A very small town has only 15 households and they have the following annual incomes: $52,000, $22,000, $92,000, $8,000, $118,000, $62,000, $38,000, $14,000, $132,000, $46,000, $26,000, $96,000, $54,000, $110,000, $80,000. Based on this information, answer the following: a) Calculate the share of total income received by each quintile of this income distribution. Show your work! b) Do the top and bottom quintiles in this distribution have a greater or larger share of total income than the top and bottom quintiles of the U.S. income distribution for 2011? Compared to the U.S. does this city have higher or lower income inequality? (In 2011, the bottom quintile of the income distribution received 3.2% of income and the top quintile, 51.14%)According to studies undertaken by the U.S. Department of Agriculture, the price elasticity of demand for cigarettes is between −0.3 and −0.4 and the income elasticity is about +0.5. Suppose Congress, influenced by studies linking cigarette smoking to cancer, plans to raise the excise tax on cigarettes so the price rises by 10 percent. Estimate the effect the price increase will have on cigarette consumption and consumer spending on cigarettes (in percentage terms).
- Name three products for which subjectivediscretionary income might be a better predictor ofconsumption than actual income. Justify your answer.A researcher wants to study about the behaviours of postgraduate students in Australia in mobile phone usage. One of the goals of the study is to analyse whether there is a relationship between the amount of time they spend using the mobile phone and their gender. What are the two variables involved to achieve that goal?A group of 10 golfing friends have the following annual incomes: $32,000, $12,000, $56,000, $120,000, $10,000, $38,000, $70,000, $16,000, $20,000, $24,000. The share of income received by the third quintile of this income distribution is 14.9% 13.1% 14.1% 13.9%
- please help me with 5. Thank you(SW 7.10) Show that the two alternative formulas below for the homoscedasticity-only F-statistic are equivalent. F = (SSRrestricted − SSRunrestricted) /q SSRunrestricted/ (n − kunrestricted − 1) (equation 7.13 in SW) F = R2 unrestricted − R2 restricted /q (1 − R2 unrestricted) / (n − kunrestricted − 1) (equation 7.14 in SW)H3. Empirical evidence has highlighted noticeable income convergence across difference regions in the US. It has been discussed in many classical studies, including Barro and Salai-Martin (1991). However, researchers also noticed some different pattern in reality. For example, there are two cities in central Arkansas. They are 40 miles apart from each other next to an inter-state highway. The two cities were similar in several aspects, for example infrastructure, demographics and industries until the 1980s. For example, both cities had about 5,000 total population and roughly $10,000 of average household income in the mid-1970s. After 40 years, one city still has about 5,000 people and with $28,000 average household income. The other city, however, has grown into a decent metro-area with about 30,000 residents and $50,000 average household income. 1) From the story above, can you find any evidence to support or invalidate the Solow growth model, which is the core of modern economic…
- A decrease in the supply of in building materials (shortage) means that construction companies cannot get enough materials to complete all their projects. The owners of construction companies in Fiction Town have a choice between these two options: To lay off (temporarily fire) 10% of their least experienced workers. To reduce the hours of all employees by 5 hours a week, meaning they will be paid for 5 fewer hours of work. What happens to the average income of people who are employed as construction workers? The owners of the companies make profit from the payments made on their construction projects. What happens to the income of the owners? Assume that construction workers are counted as part of the average income in all of Fiction Town. What happens to the average income of people there? Why?Firms in India are losing productivity because of Facebook. Office staff are spending too long on the social networking site. According to The Associated Chambers of Commerce and Industry (Assocham) employees use Orkut, Facebook, Myspace, and Linkedin for "romancing" and other purposes. On average, employees spend an hour a day on sites like Facebook. This reduces productivity by 12.5%. Nearly half of office employees accessed Facebook during work time. Some 83% saw nothing wrong in surfing at work during office hours. In September 2009 Portsmouth City Council in England banned staff from accessing Facebook on its computers when it was discovered that they spent, on average, 400 hours on the site every month. Analyze the impact on a fall in productivity on costs.Firms in India are losing productivity because of Facebook. Office staff are spending too long on the social networking site. According to The Associated Chambers of Commerce and Industry (Assocham) employees use Orkut, Facebook, Myspace, and Linkedin for "romancing" and other purposes. On average, employees spend an hour a day on sites like Facebook. This reduces productivity by 12.5%. Nearly half of office employees accessed Facebook during work time. Some 83% saw nothing wrong in surfing at work during office hours. In September 2009 Portsmouth City Council in England banned staff from accessing Facebook on its computers when it was discovered that they spent, on average, 400 hours on the site every month. Question What is meant by productivity? Analyze the impact on a fall in productivity on costs. Analyze the possible consequences for businesses in India of banning access to Facebook and other social networking sites. Do you think access should be denied?