Microeconomics (2nd Edition) (Pearson Series in Economics)
2nd Edition
ISBN: 9780134492049
Author: Daron Acemoglu, David Laibson, John List
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Question
Chapter 6, Problem 11P
(a)
To determine
Larry’s
(b)
To determine
The profit earned by Larry.
(c)
To determine
Difference between producer surplus and profits.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
John was a troubled teen and got arrested several times and even spent some time in a juvenile detention center. John is now 22 years old and briefly attended Highline College but dropped out and has no job. John’s grandmother is very concerned, so she promised John that if he got a steady job, did not break the law again, and if he went back to Highline College if he could be re-admitted, she would pay John $50,000. John loved his grandmother and he promised to do all of that for her. Discuss whether these various promises on John’s part would constitute valid consideration for the payment of the $50,000. Please fully explain your answer for all the points.
You were able to purchase two tickets to an upcoming concert for $100 apiece when the concert was first announced three months ago. Recently, you saw that StubHub was listing similar seats for $225 apiece. What does it cost you to attend the concert?
Marissa, a single mother with one child, can’t seem to make ends meet. Rent and utilities eat up most of her paycheck, so when something unexpected happens, she is often short. Last week, her car broke down but she was already way behind in credit card payments. Yesterday, a collections guy called and said that if she didn't pay at least $100 right away, she’d be taken to court. When she got off the phone, she started to cry. Her friend Kathy asked her what was wrong. Marissa described to her how bad her financial situation is, and Kathy thought that Marissa might qualify for food stamps. Marissa has a full-time job so she isn't sure that she’ll qualify, and even if she does, she isn’t sure it will help too much.
) How is it possible that someone making almost 25% more than the minimum wage, and working full-time, qualifies for food assistance? Fully explain.
Chapter 6 Solutions
Microeconomics (2nd Edition) (Pearson Series in Economics)
Knowledge Booster
Similar questions
- Dana was dating Wade, a wealthy real estate entrepreneur. Wade was much older than Dana and knew he needed to offer something “special” to make her stay. Wade told Dana that if she continued dating him, he would pay her $10,000 a month. Wade paid Dana for two years when suddenly, for no apparent reason, he stopped the monthly payments. Dana stayed with Wade for another six months, but decided enough was enough and left. She wanted the $60,000 she was owed for the six months; Wade refused to pay her. Is Dana entitled to the $60,000?arrow_forwardElvira College has an enrollment of 1,000 students and is located in a small Midwestern town named Johnsonville. Johnsonville has a total population of 2,500 people. The nearest town is 20 miles away. Most of the residents shop locally, but they travel about once a month to the larger city and pick up the large-ticket items. Johnsonville has one fairly good-size supply store named Jameson's Grocery. The only other place in town where you might buy supplies is at the gas station/convenience store located on the edge of town. What competitive situation is Jameson's Grocery experiencing?Competitive Situation:Explanation:arrow_forwardYour monthly budget is $2500.00. You have been asked to save 25% of your monthly budget. Please show the formula that you would use in excel.arrow_forward
- Your friend bought two tickets to see James Taylor play at the Save-On Center, but now her partner can’t make it. You knew about the concert, but you decided you’re not a big enough fan to pay $100 for a ticket. On the other hand, she would have bought tickets even if they cost $150 each. If you assume that she cannot sell the ticket anywhere else, what is the minimum price you can offer her for the ticket that she will accept? Explain your answer.arrow_forwardASAP Your Aunt Debby has come to you offering to pay you if you make large signs to advertise her business. The materials for each sign cost $20, and you have to spend your own time painting them. The time it would take you to make the first sign is worth $20 to you. The time it would take to make the second sign is worth $30. The time it would take to make the third sign is worth $40. Fill in your supply schedule.arrow_forwardPlease answer in short but ASAParrow_forward
- A Caterpillar tractor one of the largest farm machinery in the world has requested for your services on pricing policy for its product. One of the things the company would like to to know is how much a 5% increase in price is likely to reduce the firm’s sales. What could you require in order to advice?arrow_forwardplease correct answer provided.urgent.arrow_forwardKathy and Ali registered as partners in a web design business. Kathy purchased a new computer for their business using their partnership's direct debit card. She did not talk to Ali about needing a new computer before she bought it. When she told Ali about the purchase Ali was furious and told Susan she had no right to buy the computer and that she would have to pay for the computer with her own money. Susan told Ali they were partners and that she had the legal right to buy the computer using the partnership's money. Is Kathy correct? Why/Why not?arrow_forward
- Mike has spent $500 purchasing and repairing an old guitar, which he expects to sell for $800 once the repairs are complete. Mike discovers that, in addition to the $500 he has already spent, he needs to make an additional repair, which will cost another $400, in order to make the guitar worth $800 to potential buyers. He can sell the guitar as it is now for $300. What should he do?arrow_forwardurgent.arrow_forwardNeed proper explanation.fastarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSON
Engineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage Learning
Managerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education