Refer to the above figure. What can we say about economic rent?
A. Economic rent equals the area IJK0.
B. Economic rent equals the area HJI.
C. Economic rent equals the area HJK0.
D. There is no economic rent represented in the figure.
Answer: A
You might also like to view...
We would expect the euro to depreciate when there is a __________ shift in the euro demand curve or a __________ shift in the euro supply curve
A) rightward; rightward B) rightward; leftward C) leftward; rightward D) leftward; leftward
What is human capital and why is it crucial to expand human capital as part of the development process?
What will be an ideal response?
Economists fear deflation because:
A. falling revenue increases the likelihood that workers will be laid off. B. falling prices make firms more susceptible to bankruptcy. C. consumers anticipating further price declines will delay purchases. D. of all these reasons.
Refer to the diagram for a monopolistically competitive producer. If this firm were to realize productive efficiency, it would:
A. also realize an economic profit.
B. incur a loss.
C. also achieve allocative efficiency.
D. have to produce a smaller output.