jnu 2012 sisi

[RHIDIMA]

Q) The distribution of the numher of printing mistakes per page of a.book is Poisson mean 3. Given that e-3 =O.O49787, the probability that there is some mistake in a page is:
a) 0.049787
b) 0.950212
c) 0.905020
d) none of the above

In the solution to this we know the value of λ is 3. But will will the value of x over here?

[RHIDIMA]

Another question
Q) The optimal trade policy for a country is always:
a free trade
b) restricted trade with tariff
c) subsidies
d) can't say

We know subsidies is not beneficial for a country as it leads to huge expense on the part of the govt. Considering restricted trade with tariff is also not beneficial as it leads to prodn and consumer distortion loss. And free trade on the whole also cannot be beneficial. So do we actually mark d) as our right answer????

[Sinistral]

some mistake means at least 1 mistake means (1 - Pr(no mistake))
Pr(no mistake) = f(x=0)=e^-3  , where X~Po(3)
do the subtraction and get option b

[ISI agent]

With Free Trade, If the world price is lower than domestic price the domestic producers are worse off but the Consumers gain and vice-versa.
And with tariff, If Terms of Trade gain is greater than Consumer and Producer distortions then only a country gain. So basically the gains are ambiguous. Hence I would go with D).  

[RHIDIMA]

Thnks Sinistral, i got my mistake.