Fiscal policy refers to the: O deliberate changes in government spending and taxes to stabilize domestic output, employment, and the price level. O altering of the interest rate to change aggregate demand. O deliberate changes in government spending and taxes to achieve greater equality in the distribution of income. O fact that equal increases in government spending and taxation will be contractionary.

A counselor claims that a new method of conflict resolution is less prone to interruption than an old method. Prior experience suggest that clients interrupted each other average of an 10 times per session. A drug company claims that a single dose of a new drug relieves symptoms for a longer period of time than the current formulation. The current formu- lation relieves symptoms for eight hours, on average.  Americans gain an average of one pound per year as they age between the ages of 25 and 45. A public health campaign aims to decrease the amount of weight gained during this interval.

Suppose the proportion P of people affected by a certain disease is described by ln (P/1-P) = 0.1t where t is the time in months. Find dP/dt, the rate at which P grows.

Exercise 3.13 —*** Challenging Question ✶✶✶. Two women, Anna and Bess, claim to be the legal owners of a diamond ring that - each claims - has great sentimental value. Neither of them can produce evidence of ownership and nobody else is staking a claim on the ring. Judge Sabio wants the ring to go to the legal owner, but he does not know which of the two women is in fact the legal owner. He decides to proceed as follows. First he announces a fine of $F > 0 and then asks Anna and Bess to play the following game. Move 1: Anna moves first. Either she gives up her claim to the ring (in which case Bess gets the ring, the game ends and nobody pays the fine) or she asserts her claim, in which case the game proceeds to Move 2. Move 2: Bess either accepts Anna's claim (in which case Anna gets the ring, the game ends and nobody pays the fine) or challenges her claim. In the latter case, Bess must put in a bid, call it B, and Anna must pay the fine of $F to Sabio. The game goes on to Move 3. Move…