Microeconomics
11th Edition
ISBN: 9781260507041
Author: Colander, David
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Question
Chapter 12, Problem 14QE
To determine
Explain whether entrepreneurs are motivated by opportunities to sell the goods or not.
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Discuss how technological change can increase profits by raising revenues or lowering costs.
What do we know about non-profit firms?
Multiple Choice
They don't need to worry about creating an inelastic demand curve.
Since they are not profit driven, they don't need to follow the rules of microeconomics.
They are all hostile against capitalism and free market concept.
None of the choices are correct.
Why do economists believe that economic profit is the more accurate measure of a business success? Why is economic profit the superior method of determining a business success?
Chapter 12 Solutions
Microeconomics
Ch. 12.1 - Prob. 1QCh. 12.1 - Prob. 2QCh. 12.1 - Prob. 3QCh. 12.1 - Prob. 4QCh. 12.1 - Prob. 5QCh. 12.1 - Prob. 6QCh. 12.1 - Prob. 7QCh. 12.1 - Prob. 8QCh. 12.1 - Prob. 9QCh. 12.1 - Prob. 10Q
Ch. 12.A - Prob. 1QECh. 12.A - Prob. 2QECh. 12.A - Prob. 3QECh. 12.A - Prob. 4QECh. 12.A - Prob. 5QECh. 12.A - Prob. 6QECh. 12.A - Prob. 7QECh. 12 - Prob. 1QECh. 12 - Prob. 2QECh. 12 - Prob. 3QECh. 12 - Prob. 4QECh. 12 - Prob. 5QECh. 12 - Prob. 6QECh. 12 - Prob. 7QECh. 12 - Prob. 8QECh. 12 - Prob. 9QECh. 12 - Prob. 10QECh. 12 - Prob. 11QECh. 12 - Prob. 12QECh. 12 - Prob. 13QECh. 12 - Prob. 14QECh. 12 - Prob. 15QECh. 12 - Prob. 16QECh. 12 - Prob. 17QECh. 12 - Prob. 1QAPCh. 12 - Prob. 2QAPCh. 12 - Prob. 3QAPCh. 12 - Prob. 4QAPCh. 12 - Prob. 5QAPCh. 12 - Prob. 1IPCh. 12 - Prob. 2IPCh. 12 - Prob. 3IPCh. 12 - Prob. 4IPCh. 12 - Prob. 5IPCh. 12 - Prob. 6IP
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- Your friend, who has not taken any courses in economics, just inherited a company in another state. In three weeks, they will begin running a company about which they know nothing (not even the company's product or service). Explain various markets and how they work to your friend so your friend will be able to run the company.arrow_forwardThe following are examples of innovation except one. Smartphones LED Lights Automobiles Solid State Drives (SSD)arrow_forwardIf a firm chooses to produce output in the short run, how much output will it produce. Explain why the firm will choose that quantity. Which quantity of output is best for the overall society? Explain why that quantity is so good for society. Will the ideal quantity of output for the firm be the same quantity as the ideal quantity for society? Explain.arrow_forward
- If all assumptions of perfect competition hold, why would firms in such an industry have little incentive to carry out technological change or much research and development?arrow_forwardWhich of the following statements do you think reflect sound economic thinking? Explain your answer. “I paid $1,800 for this economics course. Therefore, I’m going to attend the lectures even if they are useless and boring.” “Because we own rather than rent, and the house is paid for, housing doesn’t cost us anything.” “I own 100 shares of stock that I can’t afford to sell until the price goes up enough for me to get back at least my original investment.” “Private education is costly to produce, whereas public schooling is free.arrow_forwardYour best friend has an idea for a long-distancecar service to drive people across the country.Indicate the best explanation for why others havenot taken advantage of her idea: true innovation, market failure, intervention, unprofitable.arrow_forward
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