This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Evaluate the following statement. If a firm is suffering economic losses then the sensible thing to ... (Read 29 times)

eruditmonkey@yahoo.com

  • Hero Member
  • *****
  • Posts: 546
on: Jun 29, 2018
Evaluate the following statement. If a firm is suffering economic losses then the sensible thing to do is to shut down temporarily.
 
  What will be an ideal response?

Question 2

Using Scenario 1 what would happen to your budget constraint if you came up with a study technique that allowed you to earn 3 points for every hour spent studying economics and still only 2 points for every hour spent studying French? What has
 
  happened to the relative price of one hour of studying French?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

taylorsonier

  • Sr. Member
  • ****
  • Posts: 377
Reply #1 on: Jun 29, 2018
Answer to Question 1

Not necessarily. A firm should only shut down if it is not earning an operating profit. If a firm is receiving less total revenue than its total variable cost then this advice would make sense.

Answer to Question 2

The budget constraint would pivot out. The relative price of studying French would actually rise since every hour you spend studying French is costing your 3 points towards your economics grade rather than the previous 2 points.


eruditmonkey@yahoo.com

  • Member
  • Posts: 546
Reply 2 on: Jun 29, 2018
Wow, this really help

bitingbit

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

Did you know?

A recent study has found that following a diet rich in berries may slow down the aging process of the brain. This diet apparently helps to keep dopamine levels much higher than are seen in normal individuals who do not eat berries as a regular part of their diet as they enter their later years.

Did you know?

A seasonal flu vaccine is the best way to reduce the chances you will get seasonal influenza and spread it to others.

Did you know?

If you use artificial sweeteners, such as cyclamates, your eyes may be more sensitive to light. Other factors that will make your eyes more sensitive to light include use of antibiotics, oral contraceptives, hypertension medications, diuretics, and antidiabetic medications.

Did you know?

The U.S. Preventive Services Task Force recommends that all women age 65 years of age or older should be screened with bone densitometry.

Early cities were small economic centers surrounded by walls to keep out enemies. These cities had ... Early cities were small economic centers surrounded by walls to keep out enemies. These cities had ...
Neck stretch. Rest the receiver’s head on the palm of your right hand, taking a firm hold on the ... Neck stretch. Rest the receiver’s head on the palm of your right hand, taking a firm hold on the ...
How to evaluate algebraic expressions with given terms How to evaluate algebraic expressions with given terms
How to evaluate the third-order determinant How to evaluate the third-order determinant
economic question economic question
economic question economic question
Video: Transmission Across a Synapse

For a complete list of videos, visit our video library