In the long run, a monopolistically competitive firm
A) earns positive economic profits.
B) earns zero economic profits.
C) earns negative economic profits.
D) can have positive, zero, or negative profits.
Answer: B
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Suppose France's real GDP grew from $750 billion in 2010 to $821 billion in 2011. What was the growth rate of France's real GDP?
A) 10 percent B) 9.5 percent C) 9.1 percent D) 8.6 percent E) $71 billion
Under the Bretton Woods system, an asymmetry in the ability of central banks to defend their exchange rates existed because
A) a country experiencing a balance of payments surplus was limited in its ability to defend its exchange rate by its stock of international reserves. B) a country experiencing a balance of payments deficit was limited in its ability to defend its exchange rate by its stock of international reserves. C) central banks were allowed by the IMF to adjust their exchange rates upward whenever they chose, but were rarely allowed to adjust their exchange rates downward. D) central banks were allowed by the IMF to adjust their exchange rates downward whenever they chose, but were rarely allowed to adjust their exchange rates upward.
Opportunity cost of an activity
a. Is included in accounting costs b. Does not include monetary costs c. May include both monetary costs and foregone incomes d. Is known with certainty
Suppose that you are a broker and people tell you the following about themselves. What sort of bond would you recommend to each? Defend your choices
a. "I am in a high federal income tax bracket and I don't want to take very much risk." b. "I want a high return and I am willing to take a lot of risk to get it." c. "I want a decent return and I have enough deductions that I don't value tax breaks highly."