Over the past seven weeks, we have explored the foundational concepts and principles of microeconomics, and we have applied them to the world around us. take this time to share what you have learned with your classmates. in your initial post, respond to the following: choose one microeconomic concept applied in your final project. explain your findings and the implications to your chosen firm’s sustainability. using the same microeconomic concept chosen above, explain how it would be applied to the firm where you work or the type of firm you hope to work for in the future. what does this imply about this firm’s future? in your response posts to peers, comment on the conclusions your peers drew. add any of your own observations about the firm and how the selected microeconomic concept applies. additionally, discuss how the concepts your peers chose would be applied to your current or future work. microeconmic concept that i used. apply microeconomic models to real-world situations for informing effective business decisions

Suppose that a major city’s main thoroughfare, which is also an interstate highway, will be completely closed to traffic for two years, from january 2014 to december 2015, for reconstruction at a cost of $535 million. if the construction company were to keep the highway open for traffic during construction, the highway reconstruction project would take much longer and be more expensive. suppose that construction would take four years if the highway were kept open, at a total cost of $800 million. the state department of transportation had to make its decision in 2014, one year before the start of construction (so that the first payment was one year away). so the department of transportation had the following choices: (i) close the highway during construction, at an annual cost of $267.5 million per year for two years. (ii) keep the highway open during construction, at an annual cost of $200 million per year for four years. now suppose the interest rate is 80%. calculate the present value of the costs incurred under each plan.