Michele Ware, CPA
Tues, Thurs 3:30pm - 4:45pm
NA 4/121. Tuesdays and Thursdays. Email in advance for an
appointment is recomme
Syllbi Spring 2017
ECO 33150 - 4TU Introduction to Econometrics
Th 6:30PM - 9:15PM
Orkideh Gharehgozli Economics Department
The objective of the course is to provide an introduction to
Problems Set 2
The deadline for this specific problem set is on Wednesday, 15 th of March in class.
Bring a print copy to give it to me. Just one copy per group.
1. Assume that the Government has announced a cut in Government Spending
followed by a tax in
To be delivered in class on Wednesday 29 during class time
1. Argentina presented a record of national debt in December of 2002, larger than 160% of GDP.
The huge increase in the Government spending during the last decade, among oth
Identify whether each of the following events in this scenario occurs in the resource market or the product market.
Event Resource Market Product Market
Kevin earns $200 per week working for Spotless Car Wash. 0 C
Kevin spends $325 to purchase legal ser
3. Equality versus efciency
Match each denition to its appropriate concept.
Definition Efficiency Equality
When a society gets the most it can from its scarce resources 0 A
When economic benefits are distributed uniformly across society a; o
1. Understanding opportunity cost
Before you started applying for college, a job recruiter offered you a fulltime cashier position at a local retail store, earning an aftertax salary of
$21,000 per year. However, you turn down this offer and attend your f
5. Changes in incentives
Suppose the large number of auto accidents in a small town results in new legislation that requires all citizens of the town to install new antilock
brakes on their cars. These new brakes cut the time it takes a car to stop by 50%
Classify the source of market failure in each case listed.
Market Failure Power Externality
A person smoking in a restaurant emits secondhand smoke that harms other restaurant patrons. 0 o
A single public utilities company is responsible for su
6. Scarcity, opportunity cost, and marginal analysis
Manuel is training for a triathlon, a timed race that combines swimming, biking, and running.
Consider the following sentence: Manuel has only 20 hours this week that he can devote to training. Each hou
Sam is a hard-working college senior. One Sunday, he decides to work nonstop until he has answered 250 practice problems for his physics course. He
starts work at 8:00 AM and uses a table to keep track of his progress throughout the day. He notices that a
7. The interaction of individual choices
People in the U.S. state of Iowa eat both corn and potatoes. It is technically possible for farmers to grow both corn and potatoes in Iowa, yet almost
no farmers grow potatoes. Instead, every year, Iowa exports cor
2. The circular-ow model
The following diagram presents a circular-flow model of a simple economy. The outer set of arrows (shown in green) shows the ow of dollars, and the
inner set of arrows (shown in red) shows the corresponding ow of inputs and output
Later, the teaching assistant in Sam's physics course gives him some advice. Based on past experience," the teaching assistant says, working on
37.5 problems raises a student's exam score by about the same amount as reading the textbook for 1 hour. For si
SUS 7400C/ECO B9526 Economics of Sustainability
The City College of New York
March 14th, 2017
2 hours and 40 minutes
There are FIVE problems in this exam.
Answer all problems.
Each problem is wo
Selected Solutions Worksheet
The governor of a western state has an opportunity to invest $1,875,000 in Project A or in
Project B to avoid environmental damage in the future.
Project A will avoid $550,000 of environmental damage at the end of the first ye
Simple P= principal
interest r = interest rate
I = time in years
Compound P= principal
interest 1*: rate
n = compoundinqs
r= interest rate
:1 = compound inns
R . _ P: amount borrowed
loan payment ' ' i= interest rate per period
n = number of paym
I = simple interest R = interest rate as a decimal (or fraction)
P = principal T = time periods
e.g. 1f $3080 is invested for seven years at 6% p.11. simple interest, how
much will it be worth after seven years?
WhereN= Number (If Periods
B = Balance
3: Rate of Growth
at = Compomdhg I-Trequenc].r
1*: Interest Rate
rE= Eecve Interest Rate
IN: Nominal Interest Rate
PMT = Periodic Payment
FV = Future Value
PV = Present Value
CF = Cash Flow
3': the jth Period
Final Exam City College Fall 2016.
Due date is 21st Dec
1. The following estimated equation was obtained by OLS regression using quarterly data for 1958
to 1976 inclusive:
Yt = 2.20 + 0.104X1t 3.48X2t + 0.34X3t.
Professor Christopher Rick
27 October 2016
The Effect of Minimum Wage on Economic Growth: Why it needs to be raised
As the 2016 election for the next President of the United States comes to the final
stretch, many citizens ar