Hi everyone!
I am writing a paper in development/experimental economics concerning how household bargaining power (i.e. how much say the husband and wife has about how to spend household income) affect how much money is spent on children. I am going to conduct an experiment and is now in the...
Homework Statement
Let the linear model be Y_{i}=\alpha + X_{i}\beta + \varepsilon . Let the assumptions of the linear model hold. Suppose that the fixed values of X in a data are as follows: X_{1} - 1, X_{2} - 2, X_{3} - 3, X_{4} - 4 . An econometrician proposes the following estimator to...
Homework Statement
I have understood the point with the Blanchard Kahn condition, my problem is to find the explicit solution when I know there exists one unique solution to the problem. The problem comes from a DSGE model.
Homework Equations
\begin{pmatrix} p_{t} \\ m_{t} \\...
Homework Statement
I am going to do a log-linearization around a zero-inflation flexible price steady state of:
\frac{P_{t}^{*}}{P_{t}}E_{t}\sum_{k=0}^{\infty}\theta^{k}\beta^{k}C_{t+k}^{1-\sigma}\left(\frac{P_{t+k}}{P_{t}}\right)^{\epsilon-1}
Zero-inflation flexible price steady state...
Homework Statement
Maximize C_{t} for any given expenditure level
\int_{0}^{1}P_{t}(i)C_{t}(i)di\equiv Z_{t} The Attempt at a Solution
The Lagrangian is given by:
L = \left(\int_{0}^{1}C_{t}(i)^{1-(1/\varepsilon)}di\right)^{\varepsilon/(\varepsilon-1)} - \lambda...
Homework Statement
Suppose an individual born at time $t$ maximizes life-time utility
\begin{equation*}
\max \ln(c_{1,t}) + \frac{1}{1+\rho}\ln(c_{2,t+1}), \; \rho>0
\end{equation*}
subject to the budget constraints in periods t and t+1, respectively
\begin{eqnarray}
c_{1,t} +...
Homework Statement
Assume that X is squared-Chi-distributed, which means that the moment generating function is given by:
m(t)=(1-2t)^{-k/2}
Use the mgf to find E(X) and var(X)
The Attempt at a Solution
I know that m'(0)=E(X), and m''(0)=var(X).
So I find...
Homework Statement
Let f(x)=x/8 be the density of X on [0,4], zero elsewhere.
a) Show that f(x) is a valid density and compute E(X)
b) Define Y=1/X. Calculate E(Y)
c) Determine the density function for Y
The Attempt at a Solution
a) is just really basic. I've solved that one.
b)...
Your right, I have been confusing it with the intersections. So, the union of all these things will be {A,B,C}, right? and that should of course be a part of the larger set.
Well, I believe so.
The complement of the empty set is {A,B,C}.
The complement of {A,B,C} is the empty set.
The complement of {A} is {B,C}
The complement of {B,C} is {A},
Am I missing something?
I have some problems getting conditional probability right... Does this look like it should?
Homework Statement
Assume that there are bags of tulip bulbs in the basement, ant that they contain 25 bulbs each. yellow bags contain 20 yellow tulips and 5 red tuplips, and red bags contain 15 red...