Suggested Solutions
Quiz #$
1.
I need an estimate of the number of employees needed to staff the return counter
at Walmart. Customers come in randomly over store hours to return products. Which
distri
Quiz #2
Suggested Solutions
1. (two points) My foul shooting has really gone into the tank, so that currently I only
score with probability .4 What is the probability it takes me three shots to score?
University of Colorado Department of Economics Economics 3818 Prof. Jeffrey S. Zax Midterm Examination 27 September 2005
Solutions Consider two outcomes C and D, where Pr(C)=.3, Pr(D)=.5, Pr(C1D)=.3 (
Answer Key to Problem Set 6
Fall 2005 Econ 3818-300
Answer Key to Problem Set 6
a. Schedule: Assigned Tuesday, 11 October. Due Tuesday, 18 October in class. b. Problems: 3.14, 3.18, 7.8, 8.2, 8.4 and
Econ 3818
Problem Set # 6
Suggested Solutions
1. a. The 8 "& Estimate will have smaller variance.
b. Both unbiased (mean .).
Z .
s"
" 5#
" 5#
% "! % "&
% 5#
* 5#
Z .
s#
#& "! #& "&
So I would choose
Problem Set #
1. Text, Problem 2.2 (p. 11). This is what is currently going on with our Federal
Reserve, on a much, much bigger scale, called Quantitative Easing.
2. Demonstrate Properties 1 - 5 (pps.
Answer Key to Problem Set 5
Fall 2005 Econ 3818-300
Answer Key to Problem Set 5
a. Schedule: Assigned Tuesday, 4 October. Due Tuesday, 11 October in class. b. Problems: 6.18, 6.20, 6.30, 7.2, 7.4, and
Problem Set 1 Answer Guide
1) Total tax = 500 = 500(200 + 0.1 ) = 200 500 + 0.1 500 . As the total
1
=1
=1
income of the geographical area is $5,000,000 we know that 500 = $5,000,000. Thus, we
=1
have
Problem Set #3
Note: this problem set is Due by Wednesday, 12 noon, February 3. Solutions will be
available at that time. It may be handed in in class Tuesday, in recitation, or in the folder
on my of
Quiz #5
Suggested Solutions
1.
Suppose the annual return to a stock \ is normally distributed with mean .12
and variance .04. You invest in this stock. What is the probability you will make more
than
Econ 3818
Problem Set # 5
I \ ( Z \ #& "#&
1.
I \ ] I \ I ] "#
Z \ ] Z \ Z ] #G \ ] !)
2a
b.
Suggested Solutions
I #] #I ] "%
Z #] %Z ] $#
So the portfolio #] has a higher return than the
portfolio \
Answer Key to Problem Set 7
Fall 2005 Econ 3818-300
Answer Key to Problem Set 7
Schedule: Assigned Tuesday, 18 October. Due Tuesday, 25 October in class. Problems: 8.8, 8.10, 8.12, 8.14, 8.16 and 8.18
Answer Key to Problem Set 8
Fall 2005 Econ 3818-300
Answer Key to Problem Set 8
Assigned Tuesday, 25 October. Due Tuesday, 1 November in class. Problems: 8.20, 8.22, 8.24, 8.26, 8.28 and 8.30 in "Stat
Answer Key to Problem Set 9
Fall 2005 Econ 3818-300
Answer Key to Problem Set 9
Schedule: Assigned Tuesday, 8 November. Due Tuesday, 15 November in class. Problems: 9.2, 9.8, 9.10, 9.12, 9.16 and 9.18
University of Colorado Department of Economics Economics 3818 Prof. Jeffrey S. Zax Midterm Examination 3 November 2005
Solutions
(32)
1.
X and Y have the following joint distribution: Y x1=2 x2=4 x3=6
Econ 3818
Problem Set # (
Suggested Solutions
1.
(two points each)
Consider a population with unknown mean . but known
#
variance 5 25. In a random sample of size 36 we find \ )
a. Find the 95% confid
Quiz #4
Suggested Solutions
1. (1) The formula for the covariance of two random variables is_0 _ .
+ G \ ] I \ .B ] .C
, G \ ] B3 C4 T \ B3 ] C4
3
4
- G \ ] I \] I \ I ]
. + and ,
/ + and -
0 + , a
Problem Set 2 Solutions
1) Start with 100 kids at the school. 48 are boys, 52 are girls. Let M be the event that the child is a
boy and F the event that the child is a female. Also, let T be the event