Suppose That in an Effort to Explain the Demand for Pineapples,you

question 21

Essay

Suppose that in an effort to explain the demand for pineapples,you collect a weekly time series data set with 780 total observations and you propose the following demand and supply equations for pineapples $$\begin{array} { c } \text { Pineapples } _ { t } ^ { d } = \beta _ { 0 } + \beta _ { 1 } \text { Price } _ { t } + \beta _ { 2 } \text { Income } _ { t } + \varepsilon _ { t } \\\text { Pineapples } _ { t } ^ { s } = \delta _ { 0 } + \delta _ { 1 } \text { Price } _ { t } + \delta _ { 2 } \text { Rain } _ { t } + \varphi _ { t }\end{array}$$
a)With a graph,explain estimating the demand equation alone would yield biased estimates.
b)Explain why this specification can be viewed as a simultaneous equation.Be as specific as possible.
c)Now with a similar graph explain how the supply shifter,rain,helps identify the demand equation.
d)Describe,using rain as an instrumental variable,how to estimate the demand equation for pineapples.
e)Describe,using income as an instrumental variable,how to estimate the supply equation for pineapples.
f)Why would this sample size be a concern for using instrumental variables in this circumstance?

Comprehend the causes and proposed causes of ADHD.

Understand the characteristics, difficulties, and legal requirements related to learning disabilities.

Identify common problems associated with learning disabilities.

Recognize the aspects of intelligence and academic performance in children with learning disabilities.

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Definitions:

Use The Book

An instruction suggesting to refer to or consult a particular book for information, guidance, or as part of a task.

Statistical Procedures

A set of steps and methods followed to organize, summarize, analyze, and interpret data to make decisions or draw conclusions.

Descriptive Measures

Quantitative assessments that provide summaries about the central tendency, dispersion, and shape of a dataset.

Generalize Results

The process of extending the findings from a study or experiment to a larger population outside of the sample studied.