Econometrics (ECO 721) Practice First Exam Partha Deb
Name:
Answer every question. Keep your answers brief and to the point. If you need only one sentence to answer the question and explain your reasons, that is adequate. On the other hand, if you write a
Homework 4 Econometrics: ECO 721 Fall 2009 Due Thursday, November 19 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. Photocopies are not
Econometrics (ECO 721) - Fall 2009 Practice First Exam - Partial Answers
1. Consider the following baseline regression for the demand for medical care, estimated on a sample of 3000 individuals, log(medexi ) =
2 2 0 + 1 agei + 2 agei + 3 fi + 4 fi agei +
Chapter 3
Consumer Decisions and Utility
In the last chapter, I described how consumer preferences are captured by means of mathematics in microeconomic theory. What I shall do in this chapter is describe how this construct can be applied in developing a
Chapter 1
Introduction
1.1 Microeconomic theory
The point of departure for microeconomic theory is the assumption that decision makers act in pursuit of some well-dened objective.1 As a practical matter, this amounts to assuming that decision makers maxim
Chapter 11
Competitive equilibrium
Analytical frameworks for describing consumers and producers have now been described. The process of utility maximization subject to a budget constraint generates consumer demand functions. The decisions of prot maximizi
Chapter 10
Prot maximization
We now have the basic characteristics of the rms technology described in monetary terms through the device of the cost function. We are now in a position to see what happens when we consider prot maximizing behavior, given cos
Chapter 9
Long and Short Run Costs
As described in the previous chapter to describe rm behavior it is preferable to work from production functions, to cost functions, to prots functions as a means of describing the decisions of the rm. In the one variable
Chapter 8
Production and Supply
The basic ideas of production are the same in all their essentials as those involving demand. The chain of reasoning is almost exactly the same - we specify some basic (mathematical) ideas that we think ought to characteriz
Chapter 2
Consumers
Consumer theory begins with the assumption that consumers are rational. Broadly speaking, this means that consumers make decisions that give them the highest level of satisfaction given the possibilities available to the consumer. As a
Chapter 6
Aggregation and market demand
This chapter is really more of a sub-chapter, and just outlines a few issues in aggregation, by which is meant the process of developing a market demand curve from an individual demand curve. Really, what we want to
Chapter 5
Price changes and consumer welfare
In the previous chapter, we developed some means for dealing with questions such as: how much income must a consumer be given to compensate the consumer for utility lost due to an increase in price? In this cha
Chapter 4
Analysis of Demand
Now that we have a formal apparatus for studying consumer decisions, we can begin to apply it to the study of consumer choices. A leitmotif of this chapter is derivation of the implications of the presence of the utility funct
Chapter 7
Demand theory and Data
In the present chapter, I hope to explain how one can go about applying consumer theory in understanding observed consumer decisions. Consider a case in which we observe the amounts of a particular good, demand for a good
Stata - Basics by example-4
This handout describes two new Stata features: first, the use of the #delimit command to change the default end of command from the end of a line to a semicolon; then how to read an ascii (text) dataset in fixed column format u
Econometrics: ECO 722: Homework 2 Due Thursday, March 11 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. For the experiments, please turn
Stata - Basics by example-3
This handout describes two new Stata features. First, Ill write a small program to generate artificial data and estimate a regression. Then, Ill use the simulate command to conduct a Monte Carlo analysis of the properties of th
Stata - Basics by example-2
This handout describes two Stata features. First, Ill describe how to use the Do-file Editor to write, execute and save Stata programs. Second, Ill describe how to save Stata output in a Log file suitable for importing into you
Stata - Basics by example-1
You should see 4 windows when Stata is opened. You will type in commands in the Stata Command window. These commands will be echoed in the Review window. They may be used again simply by clicking on the desired command in the R
Econometrics: ECO 722: Homework 4 Due Thursday, April 16 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. For the experiments, please turn
Homework 3 Econometrics: ECO 721 Fall 2009 Due Thursday, October 8 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. Photocopies are not ac
Homework 2 Econometrics: ECO 721 Fall 2009 Due Thursday, September 24 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. Photocopies are not
Homework 1 Econometrics: ECO 721 Fall 2009 Due Thursday, September 17 You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. Photocopies are not
Econometrics: ECO 722: Homework 3 Due Thursday, April 1
You must turn in this assignment before class begins on the due date. In this and all future assignments, you are to turn in neatly written answers to all questions. For the experiments, please turn
A Brief Introduction to Microeconomic Theory
by Matthew J. Baker September 1, 2009
Copyright c 2008 Matthew J. Baker
iii
Preface
I developed this book from my lecture notes for my one-semester microeconomics course for masters students that I have taught