If the producer of an information product engages in marginal cost pricing, it earns

A) a normal profit.
B) an economic loss.
C) zero economic profits.
D) positive economic profits.


Answer: B

Economics

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If a city has 3293 unemployed people and 73,177 in its labor force, then the city's unemployment rate equals

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The aggregate demand curve is all of the equilibrium combinations of

A) the IS curve and the MP curve. B) the output gap and the price level. C) the price level and the real interest rate. D) the real interest rate and the output gap.

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The demand curve for a perfectly competitive firm is

A) elastic at relatively high prices and inelastic at relatively low prices. B) perfectly elastic. C) perfectly inelastic. D) unitary elastic.

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