For most of the 1800s, the United States did not recognize the copyrights of books written by foreign authors. As a result, many U.S. publishers printed “pirated”—unauthorized—editions of Charles Dickens and other British authors without paying them royalties. A history of book publishing noted, “[U.S.] publishers claimed that pirating [foreign] works allowed their prices to remain low, which in turn made the works more accessible to the public at large.” There were (eventually successful) attempts in Congress to recognize foreign copyrights in exchange for other countries recognizing U.S. copyrights. At the time, one U.S. publisher described these efforts as the “clamor of two hundred authors against the interests of fifty-five million people.” Do copyright laws benefit authors at the expense of readers? If so, why does the U.S. Constitution give Congress the right to enact copyright laws?

New York City is the most expensive city in the United States for lodging. The mean hotel room rate is $205 per night (USA Today, April 30, 2012). Assume that room rates are normally distributed with a standard deviation of $55. Use Table 1 in Appendix B. a. What is the probability that a hotel room costs $225 or more per night (to 4 decimals)? b. What is the probability that a hotel room costs less than $143 per night (to 4 decimals)? c. What is the probability that a hotel room costs between $201 and $301 per night (to 4 decimals)? d. What is the cost of the 20% most expensive hotel rooms in New York City? Round up to the next dollar.

The table below shows the number of cars (in millions) sold in the United States for various years and the percent of those cars manufactured by GM. Year Cars Sold (millions) Percent GM Year Cars Sold (millions) Percent GM 1950 6.0 50.2 1985 15.4 40.1 1955 7.8 50.4 1990 13.5 36.0 1960 7.3 44.0 1995 15.5 31.7 1965 10.3 49.9 2000 17.4 28.6 1970 10.1 39.5 2005 16.9 26.9 1975 10.8 43.1 2010 11.6 19.1 1980 11.5 44.0 2015 17.5 17.6

Use a statistical software package to answer the following questions. A. Calculate the following: x (with a bar on top of it), y (with a bar on top of it), and s subscript y. B. State the decision rule for 0.01 significance level: H₀: ? ? 0; H₁: ? < 0. Reject H0 if t < ?. C. Compute the value of the test statistic.

The table below shows the life expectancy for an individual born in the United States in certain years. Year of Birth Life Expectancy 1930 59.7 1940 62.9 1950 70.2 1965 69.7 1973 71.4 1982 74.5 1987 75 1992 75.7 2010 78.7 For the least squares line Y(hat) = bX + a a = (#.##) b = (#.##) r = (#.####); p (< or > or =) alpha The estimated life expectancy for an individual born in 1950 and for one born in 1982 is and , respectively. (#.##)

In a survey of 1470 adults from the United States, 221 said that of all the presidents in our nations history, they most admired Abraham Lincoln.

Use the information above to answer the following.

1) Identify x:

2) Identify n:

3) Identify pˆp^

4) Identify qˆq^

Construct a 90% confidence interval for the proportion of adults who say that of all the presidents in our nation's history , they most admire Abraham Lincoln.

5) Identify the zα/2zα/2

6) Identify the Error (E):

7) Write the confidence interval use the values you found above:  

The cost of weddings in the United States has skyrocketed in recent years. As a result, many couples are opting to have their weddings in the Caribbean. A Caribbean vacation resort recently advertised in Bride Magazine that the cost of a Caribbean wedding was less than $10,000. Listed below is a total cost in $000 for a sample of 8 Caribbean weddings. At the 0.025 significance level is it reasonable to conclude the mean wedding cost is less than $10,000 as advertised? 12.4 8.5 10.1 12.6 10.5 9.1 9.8 11.2

a. State the null hypothesis and the alternate hypothesis. Use a .025 level of significance. (Enter your answers in thousands of dollars.) H0: μ ≥ H1: μ <

b. State the decision rule for 0.025 significance level. (Negative amount should be indicated by a minus sign. Round your answer to 3 decimal places.) Reject H0 if t <

c. Compute the value of the test statistic. (Negative amount should be indicated by a minus sign. Round your answer to 3 decimal places.) Value of the test statistic

d. What is the conclusion regarding the null hypothesis? H0. The cost is than $10,000.

The table below shows the life expectancy for an individual born in the United States in certain years.

Find the estimated life expectancy for an individual born in 1965 and for one born in 1992. (Round your answers to one decimal place.)

The life expectancy in the United States is 75 with a standard deviation of 7 years. A random sample of 49 individuals is selected. Round all probabilities to four decimal places.

What is the probability that the sample mean will be larger than 77 years? Answer

What is the probability that the sample mean will be within 1 year of the population mean? Answer

What is the probability that the sample mean will be within 2.5 years of the population mean? Answer

A Canadian firm is evaluating a project in the United States. This project involves the establishment of a lumber mill in Wisconsin to process Canadian timber. The factory expects to service clients in the construction industry. All cash flow figures are in thousands. Initial Investment. The initial investment is CAD 48,000. The project is over a period of three years. This investment will be depreciated straight line to zero. Operating Results. The firm expects two likely scenarios for the first year of operations. Under the favorable scenario (probability of 45%), the firm expects to produce and sell 1,400 units of a product. Under the unfavorable scenario (probability of 55%), it expects to produce and sell only 800 units. The selling price is expected to be CAD 55; the variable expense is expected to be CAD 27, and fixed costs excluding depreciation are expected to be CAD 15,000. Additional Investment. If the firm encounters the favorable scenario during year 1, it could make an investment of CAD 25,000 to enable it to produce and sell a total of 2,800 units (double the units) in the second and third years. The cost parameters remain unchanged with the exception of depreciation. This secondary investment will be depreciated equally in years 2 and 3. If the firm chooses not to make the investment in year 1, the results of year 1 will be repeated during years 2 and 3. Discount Rate and Miscellaneous. Assume a discount rate of 11 percent and zero taxes.

a. Estimate the NPV of the project.

b. Estimate the NPV of the option to expand.

1. Which of the following regarding internal migration in the United States is not true?

1. Migration is most common among young workers.
2. Migration is most common among educated workers.
3. Migration equalizes wage across all regions if one condition on skill level.
4. Empirically, the mystery is why there is not more internal migration, not why there is not less.
5. Repeat and return migration are substantial.

2. In the standard Becker model of discrimination, each firm is associated with a discrimination coefficient of d > 0 and acts as if the wage paid to blacks is WB(1+d) where WB is the equilibrium, a threshold level of d, labeled d*, comes about that sorts firms based on hiring decisions. Which of the following is not an outcome of this model?

1. All firms will d ≠ d will employ all blacks or whites.
2. In the long run, discrimination will be competed away in a competitive labor market.
3. All discriminating firms hire only white workers.
4. All firms with d > d* earn the same amount of profit.
5. Profits fall as d increases as long as d < d*