What does it mean when a firm is earning positive economic profit?
What will be an ideal response?
If a firm is earning positive economic profit, it is earning more than a normal rate of return. This will attract new firms into the industry.
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As of 2011, which of the following was the largest stock exchange in terms of total value traded?
A) the New York Stock Exchange B) London Stock Exchange C) Shanghai Stock Exchange D) Tokyo Stock Exchange
Homelessness can be caused by destroying cheap, low-quality housing through _____
a. building codes b. zoning c. urban renewal programs d. all of the above
After September 11, 2001, a small group of economists argued that the economy's self-correcting mechanism would work to counteract the recessionary effects of the attack
a. True b. False Indicate whether the statement is true or false
When the 2010 Patient Protection and Affordable Care Act is fully implemented, it will
a. substantially reduce the share of health care expenses paid by a third party. b. require all Americans to purchase health care insurance from either a private or government source. c. increase the competitiveness of the health insurance business by allowing people to purchase the insurance across state boundaries. d. reduce the demand for health care and thereby lead to lower prices for health care services.