shutdown

Examples of shutdown in the following topics:

• Shut Down Case

  • A firm will implement a production shutdown if the revenue from the sale of goods produced cannot cover the variable costs of production.
  • Producing a lower output would only add to the financial losses, so a complete shutdown is required.
  • When determining whether to shutdown a firm has to compare the total revenue to the total variable costs.
  • The decision to shutdown production is usually temporary.
  • Shutdowns are short run decisions.

• Short Run Firm Production Decision

  • Instead, during a shutdown the firm is only paying the fixed costs.
  • A short run shutdown is designed to be temporary: it does not mean that the firm is going out of business.
  • In a perfectly competitive market, the short run supply curve is the marginal cost (MC) curve at and above the shutdown point.
  • The portions of the marginal cost curve below the shutdown point are no part of the supply curve because the firm is not producing in that range.
  • The short run supply curve is the marginal cost curve at and above the shutdown point.

• Divided Government

  • The tensions that would ultimately produce the 2013 shutdown began to take shape after Republicans, strengthened by the emergence of the Tea Party, won back a majority of the seats in the House of Representatives from the Democrats in 2010.
  • During the shutdown, approximately 800,000 federal employees were indefinitely furloughed (put on temporary leave of absence), and another 1.3 million were required to report to work without known payment dates.
  • The previous U.S. federal government shutdown occurred in 1995–96.
  • The 16-day-long shutdown of October 2013 was the third-longest government shutdown in U.S. history, after the 18-day shutdown in 1978 and the 21-day 1995–96 shutdown.
  • According to a Washington Post/ABC News poll conducted several months following the shutdown, 81% of Americans disapproved of the shutdown, 86% felt it had damaged the United States' image in the world, and 53% held Republicans accountable for the shutdown.

• The Election Year Budget

  • Disagreements between Democratic President Bill Clinton and Republicans led by Speaker of the House Newt Gingrich led to the United States federal government shutdown of 1995 and 1996.
  • The failure of Congress and the President to enact the remaining appropriations legislation led to government shutdowns during November 13–19, 1995 and December 15, 1995 through January 6, 1996.
  • The shutdowns were triggered by the expiration of continuing resolutions.
  • The first shutdown caused the furlough of about 800,000 federal employees, while the second affected 284,000 due to additional appropriations bills enacted in the interim.

• Production Outputs

  • Shutdown: The price is below average variable cost at the profit-maximizing output.
  • Production should be shutdown because every unit produced increases loss.

• Mechanisms of Resistance

  • An example of antimicrobial resistance mediated by anaerobic atmosphere is the shutdown of bacterial protein synthesis by aminoglycosides.

• Conducting a Physical Inventory

  • For instance, inventory services provide labor and automation to quickly count inventory and minimize shutdown time.

• Extracellular Immune Avoidance

  • These proteins often shutdown the defenses of the host.

• Workers Organize

  • The shutdown of rail traffic meant the virtual shutdown of the entire national economy, and President Grover Cleveland acted vigorously.

• Profit Maximization in the Short Run

  • So long as the price is above CC, the firm is recovering all the variable cost and a little more to offset the fixed cost that it would have lost if the firm would have shutdown.
  • Point C, at a price of CC and output of QC is called the shutdown point.