If a firm doesn't make an economic profit it will shut down
Indicate whether the statement is true or false
False. The firm compares its losses from operating with its losses when shutting down and will shut down if the latter loss is less.
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"Under floating rates, the economy is more vulnerable to shocks coming from the domestic money market." Discuss
What will be an ideal response?
The major contributor to the long-run improvement of a country's standard of living is
A) low inflation. B) growth in government. C) population growth. D) technological progress.
A corrective tax is intended to: a. cover the costs of negative externalities
b. increase the private benefits of consumption. c. increase the deadweight loss caused by negative externalities. d. increase the deadweight loss caused by positive externalities.
The global pattern of inequality has:
A. remained surprisingly unchanged for the past several decades. B. not changed since the Great Depression redefined inequality for the world. C. changed significantly after each World War. D. been changing in recent decades.