Implicit costs are
a. Regarded as costs by accountants, but not economists.
b. Payments that a firm makes to other firms or individuals who supply resources to it.
c. Opportunity costs such as the value of leisure time, or the highest and best use of the business's assets.
d. Costs that vary proportionally with output.
c. Opportunity costs such as the value of leisure time, or the highest and bust use of the business assets .
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Regulation of a natural monopoly will maximize the sum of consumer surplus and producer surplus if the firm is regulated with
A) an average cost pricing rule. B) a marginal cost pricing rule. C) rate of return regulation. D) All of the above answers are correct.
Local, state and federal government control and influence over businesses through taxes, subsidies, licensing and inspections are a firm part of U.S. history
Indicate whether the statement is true or false
In negotiating NAFTA, what two side agreements were reached?
What will be an ideal response?
If a corporate bond with face value of $5,000 has an interest rate of 4 percent paid once a year for a term of 30 years, what is the size of the coupon payment?
A) $4 B) $200 C) $1,250 D) $5,000