article critque #5

In 2017, Philadelphia launched a sweetened beverage tax of 1.5 cents per ounce, raising the cost of a 2-liter soda bottle from about $1.50 to $2.50. One year later, the Philadelphia mayor wants to evaluate if this "sugar tax" improves the health status of Philadelphia Propose ONE method (i.e. difference-in-difference, instrumental variables, or regression discontinuity) to address these questions. write down its implementation details (the type of data you need, potential sources to get the data, equations) its pros and cons    Only Typing answer please I need ASAP

Sherwin-Williams Company is attempting to develop a demand model for its line of exterior house paints. The company’s chief economist feels that the most important variable affecting paint sales (Q) (measured in gallons) is the Selling price (P) (measured in Ghana cedis per gallon). The chief economist decides to collect data on the variables in a sample of 10 company sales regions that are roughly equal in population. Data on paint sales, and selling prices were obtained from the company’s marketing department. The data are shown in the table below:     Sherwin-Williams Company Data Sales Region Sales (Q) Selling Price (P) (GHS/Gallon) 1 160 15       2 220 13.5 3 140 16.5 4 190 14.5 5 130 17 6 160 16 7 200 13 8 150 18 9 210 12 10 190 15.5                                       Specify the linear demand model for Sherwin-William’s paint.                          Estimate the demand…

Mr. John operates a medium size business that sells tires. He buys most of his tires from a company that is located in South America. Mr. John believes that he is stocking too much tires so he decided to look into the situation. He wants to use the Economic Order Quantity (EOQ) model to manage his stock of tires. In order to use this model, he must first of all forecast the annual demand for his tires. Using a numerical example, demonstrate to Mr. John how he can use the manual trend projection method of forecasting to forecast demand for the next two years.

Comment on why there exists a trade-off between variance and bias of of OLS estimators when considering the choice of including a particular explanatory variable in your underlying model. Please keep your answer precise.

Consider the following single variate model (1) fare Bo + B₁dist + u =

You are trying to determine whether or not variables x2 and x3 jointly affect y. You set up a null and alternative hypothesis appropriate to this question. Before forming your test statistic, what are the two models you need to estimate? None of these is the correct pair of models to estimate. y = Bo + B1x1 + B2x2 + B3x3 + B4x4 + u and y = Bo + v y = Bo + B1x1 + B2x2 + B4x4 + w and y = Bo + B1x1 + B3X3 + B4X4 + e y = Bo + B1x1 + B2x2 + B3x3 + B4x4 + u and y = Bo + B1x1 + B4x4 + v

Please fill out the blank a-d

Recently the European Community (EC) decided to lower its subsidies to makers of pasta. In deciding by what amount to reduce total subsidies, experiments were carried out for determining the possible reduction in exports, mainly to the United States, that would result from the subsidy reduction. Over a small range of values, economists wanted to test whether there is a positive correlation between level of subsidy and level of exports. A computer simulation of the economic variables involved in the pasta exports market was carried out. The results follow. Assuming that the simulation is an accurate description of reality and that the values obtained may be viewed as a random sample of the populations of possible outcomes, state whether you believe that a positive rank correlation exists between subsidy level and exports level over the short range of values studied     Q

States (and provinces) that have control over taxation sometimes reduce taxes in an attempt to spur economic growth. Suppose that you are hired by a state to estimate the effect of corporate tax rates on, say, the growth in per capita gross state product (GSP).(i) What kind of data would you need to collect to undertake a statistical analysis?(ii) Is it feasible to do a controlled experiment? What would be required?(iii) Is a correlation analysis between GSP growth and tax rates likely to be convincing? Explain.

The Pilot Pen Company has decided to use 15 test markets to examine the sensitivity of demand for its new product to various prices, as shown in the following table. Advertising effort was identical in each market. Each market had approximately the same level of business activity and population. Complete the following worksheet and then estimate the demand function for Pilot's new pen using a linear regression model. Test Market Price Charged (cents) Quantity Sold (Thousands of Pens) i Zi Yi Zili 點 2 1 50 20 1,000 2,500 400 2 50 21 1,050 2,500 441 3 55 19 1,045 3,025 361 4 55 19.5 1,072.5 3,025 380.25 5 60 19.5 1,170 3,600 380.25 6 60 19 1,140 3,600 361 7 65 16.5 1,072.5 4,225 272.25 8 65 15 975 4,225 225 9 70 14 980 4,900 196 10 70 15.5 1,085 4,900 240.25 11 80 13 1,040 6,400 169 12 80 14 1,120 6,400 196 13 90 11.5 1,035 8,100 132.25 14 90 11 990 8,100 121 15 40 17 680 1,600 289 Total 980 245.5 67,100 Regression Parameters Estimations Slope (B) Intercept (a) What is the standard error…

Business and consumer marketers use the same set of variables to segment their markets Select one: True False

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Taubman et al., (2014) used data collected in the Portland, OR metro area to study the Impact Medicaid on emergency department (ED) use. The figure below shows the percent of respondents who have been to the ED at all (left hand side of the figure) and the average number of ED visits (right hand side of the figure). The dark blue bars represent the mean for the control group, and the light blue bars add in the "Medicaid" effect found in the paper. The black "capped" bar represents the confidence interval for the Medicaid effect. Percent with Any Visits 50 €30 20 10 O Any O O Any and Total ED Use Emergency Department Data Control Mean Control Mean plus Medicaid Effect Cl for Medicaid Effect The results above imply that the price elasticity of demand for emergency department use is Number of Visits perfectly inelastic not perfectly inelastic perfectly elastic

Applying the principles of public finance, why should or should not the governments play a role in vaccination? (Please keep in mind, this assignment is NOT an opinion survey. It is an analytical assignment where the principles of public finance must be applied in your argument. The key assumption is that if the issue exhibits signs of market failure then it may provide reasons for government roles. Sample questions to ask include but not limited to: ---Is vaccination a public good? Yes->more government involvement; no->less government ---Is the vaccination industry a natural monopoly? Yes-> more government involvement; no->less ---To what extent does the vaccination market have information asymmetry? A lot-> more government involvement; no->less ---To what extent does the vaccination issue exhibit externality? A lot-> more government involvement; no->less ---Other reasons?... As you see, students are expected to read the chapter and know these terminologies for…

With Panel Data, if we assume that the individual effects vi are not correlated with the regressors Xit (i.e. E(vi|Xit) = 0), which one of the following statements is correct:     The Fixed Effects estimator is not consistent.     Both the OLS and the Random Effects estimators are not consistent.     The OLS estimator is not consistent, but the Random Effects estimator is consistent.     The OLS and the Random Effects estimator are consistent.     All of the above.     None of the above

Econometrics   Thomas Eisensee and David Stromberg wanted to measure how much news coverage of a foreign disaster impacted the amount of disaster relief provided by the U.S. government. They argue that the simple relationship would be biased.   Let X = Minutes of News Coverage and Y= Disaster Aid. Choose a variable X2 that could bias the simple relationship. This variable should impact the amount of coverage and impact the amount of aid for reasons other than purely news coverage.    Eisensee and Stromberg introduce an instrument Z = During the Olympics. Explain how Z could satisfy the relevant and exogenous criteria.    Explain how you could use Z to estimate the impact of X on Y free from X2 bias. Hint: you should mention two stages.

A tax on Cigarettes introduced in Mexico in 2012 increased the price of Cigarettes by about 10%. An evaluation of the first two years of this measure found that Cigarette consumption fell on average by 7.6%, with a larger decrease (11.7%) in low income households. The study also estimated an increase in consumption of alternatives to smoking, particularly Nicotine patches, of 2.1% (AYA, 2017) Explain factors that determine responsiveness to a price increase. Which of these factors might explain the difference in the economy and low income households?

Suppose that there is a running variable (such as GPA) that have a sharp cutoff (such as 3.8). If a student has a GPA above the cutoff, they are eligible to receive a very generous scholarship to attend college. You are interested in studying the effects of attending college on risky health behaviors. Given this description, which of the following is the most appropriate technique for your study? difference-in-difference (DID) Regression discontinuity design (RDD) instrumental variables (IV)

We are interested in analysing the effect of the lockout laws introduced in some areas of the Sydney CBD and nearby surrounds on the number of alcohol-related violent incidents.  Suppose we have two samples of data on the number of violent incidents in a number of local areas of the Sydney CBD and nearby surrounds. Pubs, hotels and clubs located in a subset of these areas became subject to the lockout laws when they were introduced in 2014. The first sample is from 2010 before the introduction of the lockout laws, and the second is from 2015 after the introduction of the law. The hypothesis we wish to test is that the introduction of the lockout laws reduces violent incidents in the areas in which the lockout laws were put in place.  We use a difference-in-difference model on the pooled data from 2010 and 2015. We find the following results: viol_inc hat = 33.21 (5.29) + 12.43lockout (7.01) – 4.19Yr2015 (2.98) – 3.32 (lockout x Yr2015) (1.85) N = 181, R^2 = 0.128 Where: viol_incis the…

You are given the following demand for European luxury automobiles: Q= 1,000P-0.93 Pa0.75 Pj1.2 I1.6 Where P = Price of European luxury cars; Pa = Price of American luxury cars; Pj = Price of Japanese luxury cars; and I = Annual income of car buyers. Assume that each of the coefficients is statistically significant (i.e., that they passed the t-test). On the basis of the information given, address the following: What is the degree of substitutability between European and American luxury cars and between European and Japanese luxury cars. What is the coefficient for the income variable. What is he coefficient of the European car price variable.  Be sure to include your work for all calculations.

The Pilot Pen Company has decided to use 15 test markets to examine the sensitivity of demand for its new product to various prices, as shown in the following table. Advertising effort was identical in each market. Each market had approximately the same level of business activity and population. Complete the following worksheet and then estimate the demand function for Pilot's new pen using a linear regression model. Test Market Price Charged Quantity Sold   (cents) (Thousands of Pens) ii xixi yiyi xixiyiyi xi2xi2 yi2yi2 1 50 20 1,000 2,500 400 2 50 21 1,050 2,500 441 3 55 19 1,045 3,025 361 4 55 19.5 1,072.5 3,025 380.25 5 60 20.5 1,230 3,600 420.25 6 60 19 1,140 3,600 361 7 65 15.5 1,007.5 4,225 240.25 8 65 15 975 4,225 225 9 70 14.5 1,015 4,900 210.25 10 70 15.5 1,085 4,900 240.25 11 80 13 1,040 6,400 169 12 80 14 1,120 6,400 196 13 90 11.5 1,035 8,100 132.25 14 90 11 990 8,100 121 15 40 17 680 1,600 289 Total 980 246     ?…

PLEASE ANSWER CORRECTLY FULLY  MAKE SURE THE ANSWER IS 100% RIGHT  NO MISTAKES PLEASE

Suppose you want to estimate the following model y = Bo + Biz + B₂z + 1₂ where z is likely to be correlated with both z and y. You have cross-sectional data on z. y. and z. You do not observe z but only an imperfect measurement that we call g. g = az+w, where w is just random noise. Your friend, Federico, argues that if you want to estimate 3₁ you should not include g in your estimation as it will just add noise. Is Federico's argument right or wrong? Explain.

We have a random sample of workers from a large firm. In 2017, the firm ran a training program. Some workers did the training program, others did not. The firm now wants to assess the effect of the training on earnings.  We use the following model to estimate the effect of a training program on annual earnings in 2018: ln⁡(earn2018)=β0+β1train+β2ln⁡(earn2016)+β3educ+β4exper+u where earn2018 = individual total annual earnings in 2018 in dollars train = a dummy variable that takes the value 1 if the individual worker did the training in 2017 and 0 otherwise earn2016 = individual total annual earnings in 2016 in dollars educ = the individual's years of education    exper = the individual's years of experience   We find: ln⁡(earn2018)^= 11.672 + 0.041train + 0.821ln⁡(earn2016) + 0.037educ + 0.012exper                          (5.864)   (0.019)         (0.258)                       (0.013)         (0.007) n=1278, R2= 0.048 Which of the following is the correct interpretation of the…

We have a random sample of workers from a large firm. In 2017, the firm ran a training program. Some workers did the training program, others did not. The firm now wants to assess the effect of the training on earnings.  We use the following model to estimate the effect of a training program on annual earnings in 2018: ln⁡(earn2018)=β0+β1train+β2ln⁡(earn2016)+β3educ+β4exper+u where earn2018 = individual total annual earnings in 2018 in dollars train = a dummy variable that takes the value 1 if the individual worker did the training in 2017 and 0 otherwise earn2016 = individual total annual earnings in 2016 in dollars educ = the individual's years of education    exper = the individual's years of experience     Now, I want to test whether the effect of an additional year of education increases earnings by twice as much as an additional year of experience. My null hypothesis is H0:β3=2β4. To get the standard error I need to conduct this hypothesis test, I rearrange or re-parameterise…

You are the marketing manager for Bilbo Industries. You have been asked to estimate the demand for a new toy (not aimed at adults), a remote- control rocket that sells for $300. Based on the following information, determine your optimal target market and figure out the number of people, using the chain ratio method, who would bein the target market. Use all three segmentation variables. The # of households (HH) in the US = 100 million. %3D HH income: $30,000 and below: 10% $30,001 - 60,000: 65% $60,001 and above: 25% Children in the HH: no kids: 65% kids below the age of 5: 15% kids 6-18: 20% Of the households with kids, 20% have only boys & 20% have only girls and 60% have both. O 35 million O 1 million O 3 million O 4 million

1.5 Version B. Consider a panel data regression model Yit = Bo + B1Xit + a; + eit where the unobserved heterogeneity a; is a fixed effect, and the idiosyncratic error et is white noise. Is the random effect estimator of B1 consistent? Explain briefly.

= 3+5Z+v, Suppose we have the following causal model Y where cov(Z, v) = 0. However, a precise measure of Z is not available. Instead, we have a noisy measure X of Z, that is, X = Z + w with var(w) > 0. Suppose the error w is a classical measurement error so that cov(w, Z) = cov(w, v) = 0. What can you conclude about the limit of the OLS estimator, namely ß₂2 = cov(X, Y)/var(X)? 0 B² = 0 B 5 OB > 0 U

The bioactivity of four different drugs A, B, C, D for treating a particular illness was compared in a study and the following ANOVA table was given for the data: Source Between Sum of Square Degrees of Freedom 64.42 Mean Square 21.47 treatments Within 62.12 26 2.39 treatment Total 126.54 29 a) Use F test to test at the 0.01 level the null hypothesis that the four treatments have the same bioactivity. Compute the p value of the observed F statistic.

The following graph illustrates the market for walnuts. It plots the monthly supply of walnuts and the monthly demand for walnuts. Suppose a stretch of unseasonably good weather occurs, allowing walnut growers to produce more walnuts per hectare. Show the effect this shock has on the market for walnuts by shifting the demand curve, supply curve, or both. Note: Select and drag one or both of the curves to the desired position. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just drag it a little farther. PRICE (Dollars per ton) 30 24 18 6 0 0 12 24 36 Demand QUANTITY (Thousands of tons) Supply 48 60 Demand Supply

Consider a linear demand model to explain the quantity demanded for a product:            where Q = quantity sold, Price = price of the product, Income = purchaser’s income, Advert = advertising. The following data was collected in year 2018. The company spends millions of money in advertisements. The company wants to know how advertisement as well how other factors affect the quantity of units sold.   The results are as follows:                                         Model Summary R 0.986 R2 0.973 Standard error of estimate 6.9872 Variables Coefficient Std error Sig Constant 205.862 19.354 0.000 Price -12.242 1.407 0.000 Income 1.414 0.422 0.015 Advert -3,344 1.798 0.112             Interpret and write a report based on the results obtained above.

1. A study published in 1993 used US state panel data to investigate the relationshipbetween minimum wage and the employment of teenagers. The sample period was1977 to 1989 for all 50 states. The author estimated a model of the following type:ln(Eit) = β0 + β1ln(Mit/Wit) + γ2D2i + ... + γnD50i + δ2B2t + ... + δTB13t + uitwhere E is the employment to population ratio of teenagers, M is the nominalminimum wage, and W is average hourly earnings in manufacturing. In addition,other explanatory variables, such as the adult unemployment rate, the teenagepopulation share, and the teenage enrollment rate in school, were included.(a) Name some of the factors that might be picked up by time and state fixedeffects(b) The author decided to use eight regional dummy variables instead of the 49state dummy variables. What is the implicit assumption made by the author?Could you test for its validity? How?(c) The results, using time and region fixed effects only, were as follows:ˆ ln(EIT ) =…

Explain what multicollinearity . What are the main problems that multicollinearity creates for OLS estimation results ?  Give two ways to detect multicollinearity problem and the hypothesis that are tested ?

19. The White test test statistic is n*R² ~x²(S-1). Where is the R² in the test statistic measured? A. The original econometric model when estimated using the White Robust Estimator B. The average from all the auxiliary regressions estimated with each explanatory variable as a function of the other explanatory variables C. The original econometric model before any test of heteroskedasticity has been performed D. The auxiliary regression of residuals as a function of the explanatory variables generating the heteroscedasticity 20. With annual times series data of 50 observations, how many observations are available to estimate the consumption econometric model CONt = Bo+ ß₁DISPYt + B₂CONt-1+ut A. 50 B. 47 C. 45 D. 49 21. Suppose the estimated simple linear demand equation for single-game tickets for a major football league is q=4.58-0.51p where q is the number of tickets sold measured in thousands and p is the dollar price of a ticket. Further assume that the point of the means_is…

1.5 Version B. Consider a panel data regression model Yit = Bo + B1 Xit + a; + eit where the unobserved heterogeneity a; is a fixed effect, and the idiosyncratic error eit is white noise. Is the random effect estimator of B1 consistent? Explain briefly.

help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working