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This is to inform that Quiz # 02 will be opened on Dec 8, 2015 and last date to attempt quiz will be Dec 10, 2015.



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Replies to This Discussion

If inputs are perfect compliments, it means that Isoquants are:

Select correct option:

Straight lines


Positively sloped

Negatively sloped

The isoquants for perfect substitutes are parallel straight lines.

The isoquants for perfect complements are in the form of an L.

Which of the following statements is TRUE?

Select correct option: 

The sum of the coefficient of determination (R2) is the absolute value of the coefficient of correlation r

The square root of the coefficient of determination (R2) is the absolute value of the coefficient of correlation r

The difference of the coefficient of determination (R2) is the absolute value of the coefficient of correlation r

The square root of the coefficient of determination (R2) is the absolute value of the coefficient of correlation r

Forecasting analysis which is based on the data and equation is known as:

Select correct option:

Qualitative forecasting

Quantitative forecasting

Regression analysis

Time series analysis

Quantitative forecasting

Approaches to forecasting

  • Qualitative forecasting is based on judgments expressed by individuals or groups
  • Quantitative forecasting utilizes significant amounts of data and equations

We get a smooth straight line after plotting economic time series data, this is known as:

Select correct option: 

Secular trend

Cyclical variation

Seasonal variation

Irregular variation 

Secular trend refers to a long-run increase or decrease in the data series (the straight solid
line in the top

If Isoquants are straight line, it means that:

Select correct option: 

Inputs are perfect substitutes

Inputs are perfect compliments

Inputs are not sufficient

Inputs are more than sufficient

Managerial economics uses which of the following tools to estimate the decision models?

Select correct option: 

Mathematical economics only

Econometrics only

Mathematics and Statistics

Mathematical economics and econometrics

Managerial economics is also closely related to the decision sciences. These use the tools of
mathematical economics and econometrics to construct and estimate decision models aimed at determining the optimal behavior of the firm. Mathematical economics is used to formalize the economic models in equational form postulated by economic theory. Econometrics then applies statistical tool (particularly regression analysis) to real-world data to estimate the models postulated by economic theory and for forecasting.


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