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Grace owns and operates a small pottery firm.Grace hires an assistant at $12,000/year, pays annual rent of $5000 for her shop, and spends $20,000/year on materials. She has $40,000 of her own funds invested in equipment that could earn her $4000/year if invested in the stock market. She has been offered $20,000/year to work as a potter for one of her competitors.Grace would lose $3000/year in government assistance if she stays in business.Total annual revenue from pottery sales is $72,000. Calculate the accounting profit and the economic profit for Grace’s pottery business.Should Grace continue operating her own business? Why or why not?
The substitution effect resulting from a wage increase is larger when
Jorje is meeting with his subordinates to determine which workers from his department need training in order to handle production increases expected during next nine months.
Using the following national income accounting data, compute (a) GDP, (b) NDP, and (c) NI. All figures are in billions. Category Value Compensation of employees $196.2 U.S. exports of goods and services 19.8 Consumption of fixed capital 11.8 Governme..
Find the equilibrum quantity and equilibrium price for the commodity whose supply and demand functions are given. supply:p=q^2+20q demand:p=-4q^2+10q+5200
Survey data has been gathered from 500 hikers who visited a forst in a neighboring state. Using regression analysis, economists have controlled for differences in income, employment status, age and other important factors that might affect the number..
From the readings and your research, explain how social, political, and environmental factors influenced the Immigration Policy in the United States. Use at least (2) two examples to support your response.
Assume the cost of a can was $5.10. In this case, to maximize its profit the firm illustrated in the figure above would
Which one of the following government actions is intended to generate positive externalities.
full employment is without a doubt the ultimate goal of every nation however in spite of the failures of controlled
In "That First Credit Card," what decisions could Ms. McLeod have made differently to avoid ending up in the situation she ultimately faced? When you faced similar choices, what decision did you make and what has or will be the results of those decis..
Holloman Hops has a budgeted $300,000 per year to pay for labor over the next 5 years. If the company expects the cost of labor to increase by $10,000 each year, and the interest rate is 10%, what is the expected cost of the labor in the first year?
Find a news story from the last 12 months that you believe impacted Aggregate Demand or Aggregate Supply. Provide a brief summary of the story and then explain why it impact AD or AS. Was it positive or negative impact?
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