The profit that a monopolist earns represents a loss to society that is measured through deadweight loss
a. True
b. False
Indicate whether the statement is true or false
False
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Economic profit is ________
A) included in the firm's total opportunity cost B) equal to normal profit minus total opportunity cost C) equal to total revenue minus marginal cost D) equal to total revenue minus total opportunity cost
Managers and entrepreneurs are
A) the same. B) different. C) assume risk. D) always stockholders.
Public choice theory assumes that each voter will tend to favor the political candidate who offers: a. programs with the largest social benefits
b. equality of government-provided benefits across all citizens. c. programs that will yield the greatest personal benefits net of personal cost. d. a plan requiring the least amount of tax dollars, regardless of the level of benefits provided.
Good Patties is a chain fast-food hamburger restaurant that wants to expand into a foreign market. The managers of Good Patties are most concerned about the financial commitment and desire to keep the potential cost as low as possible. Which of the following entry methods is most likely to address the managers' financial concerns?
A) acquiring a foreign firm through a merger B) establishing a local office/restaurants managed by one of Good Patties' managers C) franchising D) independent entry