Functional form e We' ve seen that a linear regression can really fit nonlinear relationships 2 Can use logs on RHS, LHS or both Can use quadratic forms ofx's Can use interactions ofx's e How do we know if we've gotten the right functional form for our model? Economics 20- Prof anderson
Unit5 It's Tough at the Top I Objective Be aware of the meaning of human exploration and adventure Figuring out the true sense of this text Learning about Newspaper story Time arrangement Text:2 hours O Reading Skill: 1 hour Discussion o5 hour
8.1. Independent Firms The downstream firm's problem is max(a-bxc-wT The upstream firm's problem is max(a-2b)3-cr The output is 8.2. Integrated Firm Suppose now that the two firms merge into one firm. This firms problem is max(a-by)y