Government tries to discourage tobacco usage. In order to do that, they would like to set a higher price for tobacco. Currently, tobacco is priced $10 in the markets. Market research uncovered that the current price elasticity of tobacco is 0.3.

a. Given this information, what should be the new price set by the government so that tobacco consumption would fall by %25?

b. Do you think this policy will be more effective in the long-run? Support your answer with a graph. Show what you expect to happen to tobacco consumption in the long-run, compared to the short-run.

The population of Americans age 55 and older as a percentage of the total population is approximated by the function f(t) = 10.72(0.9t + 10)0.3 (0 ≤ t ≤ 20) where t is measured in years, with t = 0 corresponding to the year 2000.† (Round your answers to one decimal place.) At what rate was the percentage of Americans age 55 and older changing at the beginning of 2003? % per year At what rate will the percentage of Americans age 55 and older be changing in 2018? % per year What will be the percentage of the population of Americans age 55 and older in 2018? %

Consider the Romer Model (1990). Suppose the productivity parameter in the R&D sector is 0.0002 and the stock of human capital in the economy is 2000, of which 1500 is allocated to the manufacturing of the final goods. In the final goods production sector, output elasticity with respect to labor is 0.3 and output elasticity with respect to human capital is 0.4. Answer the following questions:

a. Find the equilibrium growth rate.

b. Find the equilibrium interest rate.

c. If the current level of technology is 100 and the price of a new design for intermediate good is 1000, find the wage of human capital.

Suppose the prime minister wants an estimate of the proportion of the population who support his current policy on health care. The prime minister wants the estimate to be within 0.03 of the true proportion. Assume a 80% level of confidence. The prime minister's political advisors estimated the proportion supporting the current policy to be 0.3. (Round the intermediate calculation to 2 decimal places. Round the final answer to the nearest whole number.)

a. How large of a sample is required?

b. How large of a sample would be necessary if no estimate were available for the proportion that support current policy?

1.Suppose the number of cell phones in a household has a binomial distribution with parameters ?=13n=13 and ?=55p=55%.  
Find the probability of a household having:
(a) 9 or 12 cell phones  (b) 10 or fewer cell phones  (e) more than 10 cell phones
(c) 9 or more cell phones  (d) fewer than 12 cell phones  

2.If ? is a binomial random variable, compute ?(?=?) for each of the following cases:

(a)  ?=3,?=1,?=0.2
?(?=?)=

(b)  ?=6,?=1,?=0.5
?(?=?)=

(c)  ?=4,?=2,?=0.3
?(?=?)=

(d)  ?=3,?=2,?=0.2
?(?=?)=

Assume that GDP (Y ) is 5,000 in a closed economy. Consumption (C) is given by the equation C = 1,200+0.3(Y −T)−50r, where r is the real interest rate, in percent. Investment (I) is given by the equation I = 1, 500 − 50r. Taxes (T ) are 1,000, and government spending (G) is 1,500.

(a) What are the equilibrium values of C, I, and r?

(b) What are the values of private saving, public saving, and national saving? (

(c) For the given consumption function, what does the relationship between consumption and the interest rate imply about the saving schedule?

A mass of m = 1 Kg of an ideal gas (gas constant R= 278 J/KgK) undergoes two polytropic processes. During the first process temperature increases from 27 ⁰C to 237 ⁰C and volume decreases from 1 m³ to 0.3 m³. During the second process temperature increases to 473 0C and volume is constant. The isentropic exponent of the gas is 1.4. Determine (a) Polytropic exponents (b) missing properties of the gas (c) heat and work of the first process and (d) draw the processes in p-V diagram