A firm that is earning zero economic profits has a strong incentive to exit the industry

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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Alt-A mortgages are

A) mortgages which are bundled together by financial institutions and sold to investors. B) mortgages issued to borrowers who fail to document that their incomes are high enough to afford their mortgages. C) mortgages issued to borrowers with flawed credit histories. D) government-backed mortgages issued by Fannie Mae and Freddie Mac.

Economics

Most less-developed countries have sufficient infrastructure in place to become a developed country

a. True b. False Indicate whether the statement is true or false

Economics

Briefly explain how changes in business taxes would affect aggregate demand. Give an example.

What will be an ideal response?

Economics

What is true about the Federal Reserve System?

a. The Fed prints US currency and investigates counterfeit currency cases b. The Fed accepts deposits from and makes loans to commercial banks c. The Fed is a lender of last resort for high-poverty small businesses d. There are 21 Federal Reserve Banks across the US

Economics