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Are the wages of the pilots marginal costs or sunk costs to an airline trying to decide whether to a

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8 years ago

Are the wages of the pilots marginal costs or sunk costs to an airline trying to decide whether to a

Are the wages of the pilots marginal costs or sunk costs to an airline trying to decide whether to add a late-night flight from Seattle to San Francisco? They are
A) marginal costs because pilots are indispensable to the flight.
B) sunk costs if the pilots will receive no additional compensation for the flight.
C) marginal costs because they will be paid after the flight rather than before.
D) sunk costs because pilots' wage rates are determined by a contract already existing.

Textbook

The Economic Way of Thinking

Edition: 13^th

Authors: Heyne, Boettke, Prychitko

Read 408 times

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Sublight2097 Author

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8 years ago

Another one in the books, marking it solved.

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Dropx

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8 years ago

Happy to help, let me know if you have any more requests.

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Sawyer B.

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4 years ago

thanks

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Andrew C.

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3 years ago

thank you

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