One Year, the Distribution of Salaries for Professional Sports Players

question 19

Multiple Choice

One year, the distribution of salaries for professional sports players had mean $1.6 million and standard deviation $0.8 million. Suppose a sample of 400 major league players was taken. Find the
Approximate probability that the average salary of the 400 players that year exceeded $1.1 million.

• A)approximately 0
• B)approximately 1
• C).2357
• D).7357

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Definitions:

AE Curve

The AE curve represents the Aggregate Expenditure in an economy at various levels of income or output, showing the total spending (consumption, investment, government spending, and net exports) at those levels.

Deadweight Loss

A reduction in economic productivity occurring when there is no achievement of equilibrium for a good or service.

Marginal Revenue

The enhanced income derived from peddling an additional unit of a product or service.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a good or service, a critical factor in economic decision-making.