The model: G(z) = [exp(z)]/[1 + exp(z)], where G is between zero and one for all real numbers ‘z', represents a:

A. logit model.
B. probit model.
C. Tobit model.
D. linear probability model.


Answer: A

Economics

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If the Fed increases the real interest rate as a response to a decrease in the inflation rate, the ________, which results in a ________

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Which of the following represents a way in which multinational corporations can protect themselves from exchange rate risks?

A) forward markets B) futures markets C) currency options D) All of the above

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A $1 standard of 1985 is worth about $2.50 in today's dollars

Indicate whether the statement is true or false

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If firms in a monopolistically competitive industry are operating with economic losses, over time we would see

A) firms alter their advertising rates until they made at least normal profits. B) some firms exiting the industry, causing the market supply curve to shift to the left, raising price. C) some firms exiting the industry, causing the demand curves of the remaining firms to shift to the right. D) the firms working together to increase price and everyone's profitability.

Economics