Questions
18. Consider the following closed economy: C = 60 +0.8(Y-T) I = 150-1000i G = 250...

18. Consider the following closed economy:

C = 60 +0.8(Y-T)

I = 150-1000i

G = 250

T = 200

Ms/P = 100

Md/P = 40+0.1Y-1000i

a. Derive the IS and LM functions.

b. Find the equilibrium interest rate and the equilibrium level of income.

c. Suppose we change this model such that investment is assumed to be completely interest inelastic: that is, investment does not depend on the rate of interest or we have I=150. Write the new equations for the IS and LM schedules and illustrate them graphically. What is the new equilibrium value of income?

d. How would an increase in money stock affect equilibrium values of Y and i under (c) above? Illustrate and explain your answer.

In: Economics

What is the correct formula for Bayes’ theorem? Submit Answer format: Text unanswered not_submitted #16 Based...

What is the correct formula for Bayes’ theorem?




Submit
Answer format: Text


unanswered
not_submitted
#16
Based on the below decision tree and the following probabilities answer the below question:

Probability of an improving economy is 0.5,

When you have an improving economy the probability of high demand is 0.7

When you have a not improving economy the probability of high demand is 0.25


What is the value of A?


Submit
Answer format: Number: Round to: 0 decimal places.


unanswered
not_submitted
#17
Our original information was that the probability of High demand was .6. We collected the following new information about what happened to demand when there was an improving or not improving economy. Answer the below question.

Calculate the probability for low demand and the improving economy (also called Joint Probability)?

Improving Economy Not improving economy
Given high demand 0.75
Given Low demand 0.54

Submit
Answer format: Number: Round to: 2 decimal places.


unanswered
not_submitted
#18
Based on the below decision tree and the following probabilities answer the below question:

Probability of an improving economy is 0.59,

When you have an improving economy the probability of high demand is 0.7

When you have a not improving economy the probability of high demand is 0.44

H

What is the value of H?


In: Statistics and Probability

Current average gasoline prices in the U.S. are about $2.26/gallon. A year ago, they were about...

Current average gasoline prices in the U.S. are about $2.26/gallon. A year ago, they were about $2.69/gallon. This represents a price decrease over the last year of about 17%. If the own price elasticity of gasoline is -0.2%, by what percentage would you expect the quantity demanded to change over this period?

In: Economics

In studying the insurance preferences of homeowners the following conclusions are made: A homeowner is three...

In studying the insurance preferences of homeowners the following conclusions are made: A homeowner is three times as likely to purchase additional jewelry coverage as additional electronics coverage The purchase of one of these coverages is independent of the purchase of the other The probability a homeowner purchases both coverages is 0.2 Find the probability that a homeowner purchases exactly one coverage.

In: Statistics and Probability

In a sample of 200 individuals, the frequency of the BB genotype is 0.4, the Bb...

In a sample of 200 individuals, the frequency of the BB genotype is 0.4, the Bb genotype is 0.4, and the bb genotype is 0.2. Perform a Chi-square test to test whether this population is in Hardy-Weinberg equilibrium. For full credit, be sure to include the null hypothesis, Chi-square number, degrees of freedom, p-value, and conclusion.

In: Biology

Consider the following second-order ODE, y"+1/4y=0 with y(0) = 1 and y'(0)=0. Transform this unique equation...

Consider the following second-order ODE,

y"+1/4y=0

with y(0) = 1 and y'(0)=0.

Transform this unique equation into a system of two 1st-order ODEs.

Solve the obtained system for t in [0,0.6] with h = 0.2 by MATLAB using Euler Method or Improved Euler Method.

In: Advanced Math

An 85 kg man is climbing a 30 kg ladder that is placed against a building...

An 85 kg man is climbing a 30 kg ladder that is placed against a building at an angle of 15 degrees. The Coefficient of friction is between the ladder is and the ground is 0.2.

A) Find the force of friction.

B) What is the maximum height the man can climb before the ladder starts to slip?

Thorough solution is much appreciated!

In: Physics

A shipping pallet holds 10 boxes. Each box holds 300 parts of different types. The part weight

A shipping pallet holds 10 boxes. Each box holds 300 parts of different types. The part weight is normally distributed with a mean of 1 lb and a standard deviation of 0.2 lb.

a. Compute the mean and standard deviation of the pallet weight.

b. Compute the probability that the pallet weight will exceed 3015 lb.

In: Computer Science

In a sample of 200 individuals, the frequency of the BB genotype is 0.4, the Bb...

In a sample of 200 individuals, the frequency of the BB genotype is 0.4, the Bb genotype is 0.4, and the bb genotype is 0.2. Perform a Chi-square test to test whether this population is in Hardy-Weinberg equilibrium. For full credit, be sure to include the null hypothesis, Chi-square number, degrees of freedom, p-value, and conclusion.

In: Biology

The mass of an iron bolt was 5.4 greater when it was manufactured. After being bolted...

The mass of an iron bolt was 5.4 greater when it was manufactured. After being bolted to an outdoor structure for several months, the mass of the bolt was found to hae increased by 0.2 grams. Given the following balanced equation for the reaction, does the example support the law of conservation of mass? Why or why not?

4Fe +3O2--> 2Fe2O3

In: Chemistry