Lucinda starts a business consulting company. She makes all the business decisions and bears the risk of running the business. The typical payment for Lucinda's work is ________
A) all the revenue greater than her opportunity cost
B) all the revenue greater than the capital investment
C) a normal profit
D) an economic profit
C
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Answer the following statements true (T) or false (F)
1) Foreign firms and foreign citizens are exempt from U.S. antitrust laws. 2) If an illegal per se act has been proven to have occurred, there is no defense possible. 3) If a firm engaged in a price-fixing agreement first reports the activity to the Department of Justice, the company still faces substantial fees because price-fixing is illegal per se. 4) Bid rigging is analogous to price fixing. 5) Resale price maintenance can prevent showrooming.
If there is a large increase in the price of oil, which of the following would most likely occur in the short run?
a. The aggregate demand curve shifts upward, the price level rises, and output increases. b. The aggregate supply curve shifts downward, the price level falls, and output increases. c. The aggregate demand curve shifts downward, the price level falls, and output falls. d. The aggregate demand curve shifts upward, output remains unchanged, and the price level rises. e. The aggregate supply curve shifts upward, the price level rises, and output falls.
Unemployment rates tend to be highest during periods of:
A. recession. B. static movement. C. economic boom. D. recovery.
Exhibit 19-4 Balance sheet of Tucker National Bank Assets Liabilities Required reserves$ 4,000 Checkable deposits$20,000 Excess reserves16,000 Loans 0 Total$20,000 Total$20,000 In Exhibit 19-4, the bank could make:
A. $1,000 in new loans. B. $4,000 in new loans. C. $16,000 in new loans. D. $20,000 in new loans.