Practice International Economics Questions and Answers

• Suppose your data produces the regression result y = 10 +3x. Scale y by multiplying observations by 0.9 and do not scale x. The new intercept and slope est...
• In a multiple regression model, the Durbin-Watson test statistic is 1.3, while the critical lower and upper values are 1.5 and 1.7 respectively. This impli...
• In a small open economy with a floating exchange rate, the supply of real money balances is fixed and a rise in government spending ______
• Let X1, X2 and X3 are three (Pairwise) uncorrelated random variables. The mean & variance of each variable is 0 and 3, respectively. Find the correlation b...
• GDPf = Gross Domestic Product at Factor Cost; GDPm = Gross Domestic Product at Market Price; NNPf = Net National Product at Factor Cost; C = Consumption; I...
• An analyst has data on wages for 100 individuals. The arithmetic mean of the log of wages is the same as:
• Suppose your data produces the regression result y = 10 +3x. Scale y by multiplying observations by 0.9 and do not scale x. The new intercept and slope est...
• In a multiple regression model, the Durbin-Watson test statistic is 1.3, while the critical lower and upper values are 1.5 and 1.7 respectively. This impli...
• In a small open economy with a floating exchange rate, the supply of real money balances is fixed and a rise in government spending ______
• Let X1, X2 and X3 are three (Pairwise) uncorrelated random variables. The mean & variance of each variable is 0 and 3, respectively. Find the correlati...
• GDPf = Gross Domestic Product at Factor Cost; GDPm = Gross Domestic Product at Market Price; NNPf = Net National Product at Factor Cost; C = Consumption; I...
• The Marshall-Lerner condition states that a currency devaluation will improve the trade balance only if:
• The 'Principle of Maximum Social Advantage' (Dalton) states that the state should collect taxes and spend money until: