What is the expected heatwave premium for a risk‐neutral investor if the probability of a severe heatwave in a year is 3%?

The consumer’s indirect utility is generally:

The difference in the planner’s FOC and the consumer’s FOC can be explained by:

Under the tax you found in the previous question, firm abates how much?

Empirical studies link extreme heatwave exposure to higher corporate bond yields as they impose direct operating costs—such as elevated cooling expenses and reduced industrial output—that compress corporate cash flows. At the same time, expected future policy combatting climate change raises transition risks (e.g., carbon taxes), that raise corporate funding costs.  In the following set of questions, you’ll quantify how physical (heatwave) and transition risks translate into yield premia for risk–neutral and risk–averse investors, compute variances, and compare which risk dominates total climate premium. Assumptions: A 1% rise in expected heatwave exposure increases corporate bond yields by 20 basis points. Baseline corporate bond yield is 2.50%. Coefficient of absolute risk aversion

What is the level of labor supply from the consumer under the free market equilibrium?

Free points. Select answer A.

Perform the indicated operations.(4n5 – 19n3 + 15) – (2n5 + 16n3 + 12)

Find the product.(a – 9)(a + 4)

Use the equation to identify the slope and the y-intercept of the graph.y = x – 4