For a firm in a perfectly competitive industry
A) short-run economic profits must be zero.
B) short-run and long-run economic profits must be zero.
C) short-run economic profits may be positive, but long-run economic profits must be zero.
D) both short-run and long-run economic profits may be negative.
Answer: C
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Two variables are related by an accounting identity when:
A) the two variables are mathematically identical. B) the two variables have a negative relationshi
Fatz Confectionery is a candy company that operates at the risk of unlimited liability for its many owner in case, for instance, all of its former employees win a class action lawsuit because of "sugar-lung" developed over decades of working the
Thus Fatz is a A) proprietorship. B) partnership. C) either of the above. D) neither of the above.
The more people try to save, the more national income falls and saving, in spite of people's efforts and desire to save more, remains unchanged. This phenomenon is known as the paradox of
a. saving b. denied investment c. thrift d. frustration e. intentions
A study of segregated streetcars in the southern United States in the early twentieth century found which of the following?
a. Firms that ran the streetcars were more interested in segregating customers by race than profits. b. The firms that ran the streetcars were unanimous in their support of laws that required segregation of races. c. Before the passage of laws that mandated segregation of races on streetcars, segregation of smokers and nonsmokers was more common than segregation of races. d. Segregation based on gender was more common than race at first.