1.4. Suppose that you plan to buy a car and want to know whether a General Motors...
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1.4. Suppose that you plan to buy a car and want to know whether a General Motors car is more reliable than a Ford. One way to find out is to ask owners of both cars how often their cars go into the shop for repairs. Another way is to visit the factories producing the cars and see which one is built better. Which procedure will provide reduced-form evidence and which structural model evidence?
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The Economics Of Money Banking And Financial Markets
ISBN: 9780321598905
9th Edition
Authors: Frederic S. Mishkin
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