1. Using the code presented in Section 8.6:

(a) Generate a dataset (X, y).

(b) Apply a PCA transformation on X, which we denote Ẋ.

(c) Compute MDI, MDA, and SFI feature importance on (Ẋ,y), where the base estimator is RF.

(d) Do the three methods agree on what features are important? Why?

2. From exercise, generate a new dataset (Ẍ,y), where Ẍ is a feature union of X and Ẋ .

(a) Compute MDI, MDA, and SFI feature importance on (Ẍ,y), where the base estimator is RF.

(b) Do the three methods agree on the important features? Why?

 

 

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1. What could be the underlying causes of demand-pull inflation?

2. In cost-push inflation, cost rises are ‘exogenous’. What does that mean?

3. What is the quantity theory of money?

 

 

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1. What caused the shrinkage of the public sector in the 1980s?

2. Give three arguments for nationalization.

3. What is marginal cost pricing?

4. What were three reasons for privatization?

5. How do merit goods differ from public goods?

 

 

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1. What are this dealer’s implied cross bid and ask prices for exchanging Australian dollars and New Zealand dollars? Specify which currency should be the base currency in these quotes?

 

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1. What are the underlying reasons for changes in exchange rates in the long run?

2. What criteria were needed for EMU to proceed?

3. What are the advantages of the euro?

4. Name one invisible earning.

 

 

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