CONNECT F/MICROECONOMICS
21st Edition
ISBN: 2810022151240
Author: McConnell
Publisher: MCG
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Chapter 9, Problem 8DQ
To determine
Additional production and economies of scale.
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4) Determine the cost of 1 gallon of gasoline. Calculate the labor cost equivalent of those 2 people to push a car 40 miles. (You have to make assumptions on how much you would have to pay someone per hour to push a car). How much cheaper is it to use a gallon of gasoline to move a car 40 miles down the road as opposed to paying 2 people to push the car 40 miles down the road.
5) How much energy (in Joules and in food calories) do you estimate it would take two people to push a car 40 miles down the road. (1 food calorie = 4,186 J) The basic metabolic rate for the human body is about 60 (food) calories per hour. A runner running 10 miles at 6 minutes per mile burns about 1000 food calories per hour. Estimate how many calories per hour a person pushing a car at walking speed would burn (remember there are 2 people pushing at the same time)
6) Assuming that the car was traveling at 45 miles per hour (a very efficient speed for a car). How long does it take…
Suppose a firm decided to leave a high-cost/ high-tax state like California to reloacte to a low-cost / low-tox state like Nevada. They are doing this because they will be able to save 30 percent on the cost of their labor (employees) and becouse the Nevada state government is giving them generous state tax incentives for new machinery and free land. This decision would be a good example of economies of scale. (Telsa car battery factocy story)
True or False
Canning companies sell one can
at a price of 30 dinars, and the
fixed costs are 400 thousand
dinars
Of which 200 thousand dinars are
lost, and the variable cost of one
box is 10 dinars, and sales amount
to 50 thousand
unit per year
Required / Calculate the following:
1- Break-even point in units?
2- Cash break-even point in units?
3- The profit and loss of the
company with a sales volume of
50,000 thousand per year?
4- The degree of working crane
with a sales volume of 50 thousand
cans
Chapter 9 Solutions
CONNECT F/MICROECONOMICS
Ch. 9.2 - Prob. 1QQCh. 9.2 - Prob. 2QQCh. 9.2 - Prob. 3QQCh. 9.2 - Prob. 4QQCh. 9.5 - Prob. 1QQCh. 9.5 - Prob. 2QQCh. 9.5 - Prob. 3QQCh. 9.5 - Prob. 4QQCh. 9.8 - Prob. 1QQCh. 9.8 - Prob. 2QQ
Ch. 9.8 - Prob. 3QQCh. 9.8 - Prob. 4QQCh. 9 - Prob. 1DQCh. 9 - Prob. 2DQCh. 9 - Prob. 3DQCh. 9 - Prob. 4DQCh. 9 - Prob. 5DQCh. 9 - Prob. 6DQCh. 9 - Prob. 7DQCh. 9 - Prob. 8DQCh. 9 - Prob. 1RQCh. 9 - Which of the following are short-run and which are...Ch. 9 - Prob. 3RQCh. 9 - Indicate how each of the following would shift the...Ch. 9 - Prob. 5RQCh. 9 - Prob. 6RQCh. 9 - Prob. 1PCh. 9 - Prob. 2PCh. 9 - Prob. 3PCh. 9 - Prob. 4P
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- The “economic way of thinking” is language used to describe a way of thinking that considers the benefits relative to the costs when making a decision. To answer this question, apply the economic way of thinking to the question “how much money should we in Nevada spend on education?” In providing your answer, demonstrate you understand the “law of diminishing returns” concept and the “opportunity cost” concept.arrow_forwardDo you think that the taxicab industry in large cities would be subject to significant economies of scale? Why or why not?arrow_forwardWhat is the difference between economies of scale, constant returns to scale, and diseconomies of scale?arrow_forward
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