Which of the following statements is NOT true about the relationship between the dollar value of total output and total income?
A) The dollar value of total output equals total income because profit is considered a cost of production.
B) The dollar value of total output equals total income because of the economic definition of profit.
C) The dollar value of total output equals total income because profit is not considered a cost of production.
D) The dollar value of total output equals total income because the spending of one group is the income of another.
C
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You are thinking about buying a house. You find one you like that costs $200,000 . You learn that your bank will give you a mortgage for $160,000 and that you would have to use all of your savings to make the down payment of $40,000
You calculate that the mortgage payments, property taxes, insurance, maintenance, and utilities would total $950 per month. Is $950 the cost of owning the house? What important factor(s) have you left out of your calculation of the cost of ownership?
Refer to Table 23-1. Using the table above, compute aggregate expenditure and identify the macroeconomic equilibrium
What will be an ideal response?
The production function for hamburgers can be written as q = 0.1X + 0.1Y, where X is Canadian ground beef and Y is U.S. beef, both measured in pounds. Which graph in the figure best represents the isoquants for the hamburger production when U.S
ground beef is on the vertical axis and Canadian ground beef is on the horizontal axis? A) Graph A B) Graph B C) Graph C D) Graph D
The automobile, breakfast cereal, and tobacco industries are examples of
a. monopolistic competition b. oligopoly c. perfect competition d. monopoly e. monopsony