This time, our reading not only gives us a real-world example of cost-analysis, but also yields an excellent transition for our next discussion on the determination of price. As a result, consider the following:

  • The article states, “Bottle price is directly linked to cost of producing.” What is the economic reasoning behind this statement?
  • If we hold all things related to wine production constant, except for land, why might a winemaker pay more for a vineyard in Napa Valley (per acre) than for land in any other wine region?

Our classroom discussion will take place after spring break!  

Posted by Prof. C-S


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: