[SOLVED] graph Economics 430: Homework 1 Fall 2019, UCLA

Economics 430: Homework 1 Fall 2019, UCLA
Due Date: Oct 9, 2019
All problems require detailed worked out solutions to receive full credit. All problems are worth the same.
1. Evans & Rosenthal: 4.3.13
2. Evans & Rosenthal: 4.4.19
3. Assume that X1,,X9 are i.i.d. having Bernoulli distribution with parameter p. Suppose that we wish to test the hypotheses
H0 p=0.4 H1 p=0.4
Let Y = 9i=1 Xi.
(a) Find c1 and c2 such that P(Y c1p = 0.4)+P(Y c2p = 0.4) is as close as possible to
0.1 without being larger than 0.1.
(b) Let be he test that rejects H0 if either Y c1 or Y c2. What is the size of the test
c?
(c) Draw a graph of the power function c.
4. The file Prob4 data.txt contains 50 observations from a Gamma distribution with unknown parameters and .
(a) Plot a histogram of the data and overlay the respective density curve.
(b) Compute the Method of Moments estimates of the parameters, and .
(c) Generate 1000 new samples from your data and compute the Bootstrap Mean, standard errors, and 95% confidence intervals of the parameters and compare them against your results from part (b).
5. Evans & Rosenthal: 5.4.12
6. Evans & Rosenthal: 5.5.18
7. Evans & Rosenthal: 6.2.17
8. Evans & Rosenthal: 6.2.25
9. Evans & Rosenthal: 6.3.22
10. Evans & Rosenthal: 6.4.17