In the short run, a monopolistically competitive firm
A) always earns positive economic profits.
B) never earns positive economic profits.
C) can earn positive, negative, or zero economic profits.
D) always earns positive accounting profits.
Answer: C
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According to the Real Business Cycle model real wages should
A) remain constant. B) fall during recessions. C) rise during recessions. D) stay the same during recessions but rise during expansions.
Which of the following statements about the percent of the population aged 25 and over completing high school is most accurate?
a. Between 1940 and 2000, the rate for blacks increased substantially while the rate for whites remained the same. b. Between 1940 and 1960, whites, blacks, and Hispanics experienced large decreases in completion rates, and experienced large increases after 1960. c. Between 1980 and 2000, the rate for Hispanics dropped significantly while the rates for whites and blacks increased. d. Between 1940 and 2000, the rate for whites increased about 3 times and the rate for blacks increased about 10 times.
What will happen in the economy if the government increases spending and increases taxes by equal amounts to pay for that additional government spending?
What will be an ideal response?
Changes in inventories are included as part of investment spending because anything produced by a business that has
What will be an ideal response?