MANAGERIAL ECONOMICS
5th Edition
ISBN: 9781337106658
Author: FROEB
Publisher: CENGAGE L
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Chapter 3, Problem 3.2IP
Concert
You were able to purchase two tickets to an upcoming concert for $100 apiece when the concert was first announced three months ago. Recently, you saw that StubHub was listing similar seats for $225 apiece. What does it cost you to attend the concert?
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2. Question
The 'Democratic Family' consists of three members {mother m, father f, daughter
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Calculate for each family member (f, m, d) the preferred amount of money
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You invented a new lateral-flow test for asymptomatic Covid-19 detection,
where saliva is entered into a test-tube and then the result is shown directly
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such that it always reports a negative test result. Assume that the incidence
rate is 5 per 1000 and that your test is used for detection of asymptomatic
cases (without symptoms).
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a correct test result by using the AND-rule and the OR-rule. Can your
test be qualified as a diagnostic test?
(b) The health authorities are investigating the performance of your test.
Government guidelines require a specificity (conditional probability to re-
ceive a negative test result given that the test-taker is not infected with
COVID19) of at least 97% and a sensitivity (conditional probability to
receive a positive test result given that the test-taker is infected with
COVID-19) of at…
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