Asked by toya

Why might a profitable motel shut down in the long run if the land on which it is located becomes extremely valuable due to surrounding economic development? What kinds of costs are involved in making a decision to shut down?
Answered by economyst
Take a shot. What do you think.

Hint: think opportunity cost. What is the opportunity cost of holding the land and running a model on it?
Answered by Jan
The land might be worth more than running the business
Answered by Donnie
The land might be worth more than running the business.
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