![Aplia for Gwartney/Stroup/Sobel/Macpherson's Microeconomics: Private and Public Choice, 16th Edition, [Instant Access], 1 term (6 months)](https://s3.amazonaws.com/compass-isbn-assets/textbook_empty_images/large_textbook_empty.svg)
Aplia for Gwartney/Stroup/Sobel/Macpherson's Microeconomics: Private and Public Choice, 16th Edition, [Instant Access], 1 term (6 months)
16th Edition
ISBN: 9781305648210
Author: James D. Gwartney; Richard L. Stroup; Russell S. Sobel; David A. Macpherson
Publisher: Cengage Archive
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 8, Problem 13CQ
To determine
The difference between economic profit and normal profit.
Expert Solution & Answer
Trending nowThis is a popular solution!
Learn your wayIncludes step-by-step video
schedule04:43
Students have asked these similar questions
A manager asks an employee, "Should we use our research budget to improve the quality of the products we already make, or to develop new products?"
The manager's question is best classified as which one of the following fundamental economic questions?
Suppose that the hypothetical country of Paddyland suffers a chronic scarcity of its staple grain, rice.
True or False: Paddyland must be a developing country, since scarcity is not a problem in developed countries.
Knowledge Check 01
Cyber Devices manufactures PCTV products that enable people to watch television content on their computers. It sells
its product to retailers for $50. A tuner component that goes into each of these devices costs $5 to acquire. The total
variable cost at an activity level of 1,000 units equals q,
$50,000
$5
$1,000
$5,000J
owing statements about opportunity costs is not correct?
An opportunity cost is the potential benefit that is given up when one alternative is selected over another.
An opportunity cost cannot be changed by any decision made now or in the future.
Opportunity costs are not usually found in accounting records.
Opportunity costs are costs that must be explicitly considered in every decision a manager makes.
Chapter 8 Solutions
Aplia for Gwartney/Stroup/Sobel/Macpherson's Microeconomics: Private and Public Choice, 16th Edition, [Instant Access], 1 term (6 months)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Similar questions
- notarrow_forward1. Child Care That Cares A group of your friends got together and decided to start a childcare business in their town. The town currently has three other childcare centers. The clients are mostly the children of working parents. Your friends realize that they are going to enter a market that already has competition and that they will have to compete for the same customers. Their goal is to attract as many customers as possible, keep their prices within reach, be different, and at the same time make profits in the long run. Your friends approached you to ask you the following questions to help them make the best business decision: If we provide a bit different services than the competition, such as longer hours, healthy lunch, and smaller staff to children ratio, do you think we can charge significantly higher prices than our competition? Explain why. Given that we have competition, what do we need to do to make our business profitable? How can we determine whether we are making…arrow_forward2. Truck or Train? They both move, right? Your uncle and aunt operate a food truck near a busy train station. Their primary customers are commuters who work in another town. They told you that it costs them about $1,000 daily to run the food truck from 7:00 a.m. until 5:00 p.m. (on average $100 per hour). They average $1,500 in revenue per day. They want to make more money, and they have the idea of extending their hours until 9:00 p.m. daily. They want your opinion, so they ask you the following questions: If we extend our hours from 5:00 p.m. to either 7:00 pm or 9:00 p.m., how do we know it’s worth it? How do we know that it is beneficial to close later knowing that every additional hour of operation costs us $100? Do you think it is a good idea to raise our prices to increase our revenues? How do we know if raising prices is beneficial to us? What should we do if our costs exceed our revenues over time? Should we stay in business or shut down? Why?arrow_forward
- NAFTA (North American Free Trade Agreement) is an agreement that does what? Allows the free migration of people between countries in North America Limits tariffs and trade restrictions Ensures that all countries have strong environmental and workers rights regulations All of the abovearrow_forwardThe percentage of people employed in the primary sector in North America has ________ over the last 100 years. Increased Decreased Stayed at about the same level Fluctuatedarrow_forwardThe percentage of people employed in the primary sector in North America has ________ over the last 100 years. Increased Decreased Stayed at about the same level Fluctuatedarrow_forward
- Which of the following is an example of employment in the primary sector? Car salesman Miner College professor Carpenterarrow_forwardWhich of the following is an example of employment in the primary sector? Car salesman Miner College professor Carpenterarrow_forwardAngelo: Marijuana should be legalized A.All of Angelo’s friends smoke marijuana.b.Legalizing marijuana would reduce the consumption of marijuana and save lives, money, and resources.c.Angelo has already said on television that marijuana should be legalized.d.Angelo likes to smoke marijuanaarrow_forward
- Introduction and Problem Statement This report examines … [Include a statement of the main problem in the case.] Background [Detailed company/case background tying directly to the context of the specific case study. Summarize data from the case scenario that is pertinent to solving the stated problem.] Analysis [Thoroughly analyze the questions asked of you here as well as the main questions suggested within the case study.] Alternatives and Evaluation [This section should list some options available as solutions and discuss the pros and cons of each alternative.] Recommendations [This section should suggest the recommended solution and validation for this selection.] Action Plan [This section should provide a step-by-step actionable guide to achieve the recommended decision divided by short and long term activities.] Conclusion [Concisely summarize the case options, recommended decision and future predictions ofr the company.] References Include any references used.…arrow_forwardWhat is Bitcoin? How important is it to businesses and individuals? How does it cause environmental damage and is that damage worth continued uses of Bitcoin?arrow_forwardWhile visiting and chatting with an old friend who lives in a rural area, a man's teenage daughter joins the conversation and shared that she wants to work on a farm after she graduates from college and that farming is her passion. She shared the graph that follows from the Bureau of Labor Statistics that she recently obtained that shows the average wage (salary) by profession. She was very confused about why different professions pay people different wages. She was expecting the pay rate for people who work in the farming industry to be paid more than other “unnecessary” professions. While sharing the data with you, she asked the following questions: Why do workers in business and financial operations get paid more than those who work in farming and health care? After all, farmers make food and health care workers help people’s health. I don’t get it, but who decides how much people in certain professions get paid? I mean who decides how much I should be compensated for my work? Why…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Microeconomics: Private and Public Choice (MindTa...EconomicsISBN:9781305506893Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. MacphersonPublisher:Cengage Learning
Economics: Private and Public Choice (MindTap Cou...EconomicsISBN:9781305506725Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. MacphersonPublisher:Cengage Learning
Economics (MindTap Course List)EconomicsISBN:9781337617383Author:Roger A. ArnoldPublisher:Cengage Learning
Macroeconomics: Private and Public Choice (MindTa...EconomicsISBN:9781305506756Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. MacphersonPublisher:Cengage Learning
Exploring EconomicsEconomicsISBN:9781544336329Author:Robert L. SextonPublisher:SAGE Publications, Inc
Microeconomics: Private and Public Choice (MindTa...
Economics
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:Cengage Learning
Economics: Private and Public Choice (MindTap Cou...
Economics
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:Cengage Learning
Economics (MindTap Course List)
Economics
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Cengage Learning
Macroeconomics: Private and Public Choice (MindTa...
Economics
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:Cengage Learning
Exploring Economics
Economics
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:SAGE Publications, Inc