When a firm experiences a zero economic profit, ______.
a. neither economic nor accounting profits are positive
b. economic profits and accounting profits are equivalent
c. accounting profits are zero, but economic profits are positive
d. economic profits are zero, but accounting profits are positive
d. economic profits are zero, but accounting profits are positive
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An increase in demand for a product and a reduction in the costs of production would: a. increase the equilibrium quantity and increase the equilibrium price
b. increase the equilibrium quantity and decrease the equilibrium price. c. increase the equilibrium quantity and cause an indeterminate change in the equilibrium price. d. decrease the equilibrium quantity and cause an indeterminate change in the equilibrium price.
Discouraged workers
A. have jobs, but are unhappy with them. B. are officially unemployed. C. want to work, but have given up looking for jobs. D. are not working and don't want to work.
Changes in the availability of money have little impact on the macro performance of the economy.
Answer the following statement true (T) or false (F)
Sulfur Dioxide Discharged (Tons)Firm AFirm B10$8,000$9,000910,00012,000815,00018,000720,00027,000628,00037,000Table 16.3Table 16.3 shows the production cost for two utilities at different levels of sulfur dioxide emissions. Assume that the government issued 8 marketable pollution permits to each firm. If Firm A contemplates selling one permit to Firm B, what is Firm A's willingness to accept?
A. $3,000 B. $5,000 C. $6,000 D. $7,000