ECO 550 MIDTERM / ECO 550 MIDTERM

******** **

A **** ****** ***** ****

*******

An ****** **** **** ******** ** *** cost ** ****** index makes it * ****************** option

** opportunity cost ** capital

An *********** ** ********* **** ******* or ******* expansion in * flexible ******** plan

** ********* ******** *** a ******** rule **** ***** **** ***

******** **

*** ****** *********** ***** a division ** *** was permanently closed ** **** **** **** ***** **** ********

*******

************** **** **** at ****** ****** than ****** ***** ** ****** ** they ***** *** **** **** cars

Saturn sold **** ***** the ****** of ***** or ****** ******* * *** ** **** of return

Saturn ***** **** ***** ****** of Saturn *********** **** very ***** ** ****** *** ***

****** *********** * ****** ********** **** that helped **** ***** **** Saturn purchasers ***** ** to ***** ** *********

******** **

The **** of ********* **** ******** ** managerial *************** ****** *** **** ****

Answer

***************

welfare **********

*************** **********

microeconomics

******** 4

******** the ******** Medical Association changed *** recommendations ** *** ********* ** ********* ***** for ***** *** *** frequency ************** was ******** to ******* *** family ********* ** *** ******** *** optimal ********* should ** ***** *** ******** ******* ** ** additional pap-test: *******

****** *****

** ******* than *** ******** cost ** *** *****

** ***** **** the ******** **** ** ** ********** *****

equals *** marginal **** ** *** *****

Question **

****** *** payments are ** ******* ** *****

Answer

******** ******

******** ******

****** return on ***********

Shareholder *******

Question **

***** ** the ********* will ******** (V0) the *********** ****** maximization ***** ** *** firm: ************ ************ = ***************** ***** * * / ******* * **** ****** ***** *******

Decrease *** required rate ** ****** *****

******** *** ****** of ******* (πt)

******** the number ** ******* **** ******* ** ** periods

******** *** **** ****** ******

******** 7

The **** is *** ***** of ____ ** *** ____

Answer

standard ********** covariance; ******** value

coefficient of ********** expected ****** ******** **********

correlation coefficient; ******** ********** ******** value

*********** ** variation; standard ********** ******** ******

******** **

The approximate *********** of a value occurring **** ** ******* **** *** ******** deviation from the **** is approximately (assuming a ****** **************

*******

******

*****

34%

******

******** 9

The ***** ** ** economic ******** ****** ** increased ** *** ***** ***** the **** ** **** *******

marginal cost

average *****

*** ******** cost

*** ******** ********

Question ***

The ******** ********* ** *********** ** ******* *** risk ******* *** investments only ** *******

*** ******** returns **** the *********** are ************* equal

*** *********** **** similar life ******

********* ********* ** each possible ******* ** available

the *********** ** ********* ** ***** ** 10

******** ***

***** ** risk-return ********* observable ** *** ********* *********** ***** ** *** following ********** ***** *** ****** to offer ****** ******** returns than ********* bonds?

*******

** ********** ******

municipal bonds

****** ******

********** ******

Question ***

Generally ********* expect **** ******** **** high ******** *** ******* ****** **** **** be ******** **** *******

*** *****

**** risk

******* cash ******

***** ******

******** ***

When ****** ** ____ * percentage ****** in **** ** ******* ****** by *** **** ********** ****** ** **** ******** *** *** ****** ***** * ******** ***** ******** ************

*******

******** price; *********

unit ******** ****** *********

********** ********* ******

********** ****** *********

******** ***

* price ********** **** ** ********** ********* that *** * **** ******** ** price quantity ******** **** **** ** ____

*******

*** ******** increase; *** ******

one ***** ********* *** ******

*** percent; decrease; *** percent

*** ***** ********* *** percent

ten percent; ********* ******* ********

Question ***

Which ** *** following ***** **** ** **** demand ***********

*******

the amount ** **** ******** is quite *****

***** *** **** ** *********** **********

*** ******* is ****** durable

the proportion of the ****** ***** ** *** item ** very ******

** *** really ***** the ******* ** all

******** ***

** ****** ********** **** ** 20 ********* **** *** * **** ******** ** ****** **** **** increase ** *****

Answer

*** ******** ******** ********* two units

*** unit; quantity ********* *** ******

*** ******** ******** ********* *** percent

*** ***** ******** ********* *** ******

ten percent; quantity supplied; *** percent

******** ***

**** ******* ***** ****** ** *** *** ** the ***** **** in ******** ** ********* demand/excess ********* but *********** facing the **** ******* slash ********** ********

*******

**** ********* *** less ***** sensitive **** ********** **********

price elasticity ** ****** *** ******** ******* ** ****** *** **** **** restaurant **********

price elasticity of ****** is lower in **** **** ** restaurants

********** food ****** ******* *** ** **** more ***********

***** ********** of ****** ** ***** ** ******* than *** ******** value ** ***** elasticity ** demand *** the ******* is true for ************

******** ***

** demand **** inelastic **** ** should *************

*******

*** *** ******

**** *** price where ** ***

** ** *** ***** Prize Committee ** **** ** **** *** ***** ** **** an ****** ******* demand curve

**** ******* it ***** ** ** inelastic

raise *** ******

Question ***

******* ** ******** **** *** ****** ********** for fine ******* ******* ** 7 at ***** ******* prices **** ** **** ******

*******

* ** ******** in ***** reduces quantity **** ** ***

** *** ***** to buy leather ********

****** *** ******* ******* is elastic

* *** in the ****** will ******** total ********

******* ******* are ****** items

******** ***

**** though insignificant *********** ********* *** raise the adjusted R2 ** a ****** ******** *** ****** not ********* ***** ******* on *** ********** **** *******

testing ********* ********** ***** *** ************ ** demand

********* ********* ******** ** ******** requirements

*********** unit ***** for ********** *********

***** ******* ******* *** peak

******** *** capital ********

******** ***

****** functions ** *** multiplicative **** are **** ****** for *** of the following reasons except:

*******

************ *** ******** **** * range ** *****

**** ** ********** ** *************

********* of parameters *** *** ************ of those **********

******** ****** of a **** ****** ** ** individual ******** is *********

******** 22

*** ************** ******* ** the *********** ** * ****** function is a ****** ****

Answer

*** ******** of the ****** elasticity

*** *********** ** quantity ******** ** *** ***** ******

the ******** ***** of the ****** *********

the simultaneous relationship ******* *** ****** *** ****** **********

******** ***

*** commonly **** **** in ******** *** *** ******** ** autocorrelation **** ******* **** **** series **** is *** *****

*******

*******

Durbin-Watson *****

*******

*******

Question ***

The ******** ** ********* term ** * *********** ****** ***** ********** the ******** ******** **** all *********** variables *** ***** ****

Answer

10

their ******* *******

***** ******* *******

***

******** ***

In ********** ******** *** ********* of * **** ****** of intercorrelation ***** **** or all ** the *********** ********* ** the ********** ******** constitutes:

*******

****************

* ************ ******** *************

***************

*******************

*****************


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