Top Posters
Since Sunday
w
3
w
3
e
3
3
r
3
g
2
2
b
2
M
2
V
2
f
2
c
2
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
whipped whipped
wrote...
Go to Answer
Posts: 560
Rep: 0 0
7 years ago
What is meant by comparative statics? Assume that a firm wants to set up a factory. It considers four different locations. The rent of the factory space and the time taken to transport the products from each of the locations to the market is shown in the table below. It is also given that the opportunity cost of time is $10 per hour.
a)   Which is the optimum location?
b)   If the opportunity cost of time changes to $30 per hour, is there any change in the optimum?

Location   Time Taken to Transport  Products to the Market (hours per month)   Rent ($ per month)
1   180   3,000
2   150   3,200
3   100   3,600
4   60   4,100
Textbook 
Microeconomics

Microeconomics


Edition: 1st
Authors:
Read 86 times
1 Reply
Replies
Answer verified by a subject expert
SudzburySudzbury
wrote...
#1
Top Poster
Posts: 542
Rep: 16 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
This verified answer contains over 350 words.
1
University of Kansas Alumni

Related Topics

whipped Author
wrote...

7 years ago
Just got PERFECT on my quiz
sleinhi
wrote...

Yesterday
Good timing, thanks!
rene_ram97
wrote...

2 hours ago
Helped a lot
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1087 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 751
  
 1029
  
 353
Your Opinion
What percentage of nature vs. nurture dictates human intelligence?
Votes: 437
Previous poll results: Who will win the 2024 president election?