Which is greater -- economic profit or accounting profit?
Economic profit = Accounting profit - Implicit costs. Economic profit could be equal to accounting profit if there were no implicit costs, but in the presence of implicit costs, accounting profit will be greater than economic profit.
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Recently economists have added what factor as a major explanation of economic growth?
A) the growth rate of labor B) the growth rate in labor and capital productivity C) technology D) the growth rate of capital
Suppose a country has no trade with other countries and people can borrow as many funds as they want at the current interest rate. An increase in the price level will generate
A) a decrease in total planned real expenditures because of the real-balance effect. B) a decrease in total planned real expenditures because the indirect effect will be stronger than the real-balance effect. C) a decrease in total planned real expenditures because the real-balance effect will be stronger than the indirect effect and the open-economy effect. D) a decrease in total planned real expenditures because of the open-economy effect and the indirect effect.
The following are the equations for the supply and demand curves in the market for weezils: Demand: Qd= 20?2P Supply: Qs= 5 + 3P where Qdis the quantity demanded, Qsis the quantity supplied, and P is the price per weezil in dollars. Refer to Exhibit 4-1. According to the data given, the equilibrium price of a weezil is
A. $3. B. $5. C. $11. D. $14.
From the highest percentage to the lowest percentage, the number of firms by business type in the United States is represented by which of the following?
A) corporations, sole proprietorships, partnerships B) corporations, partnerships, sole proprietorships C) sole proprietorships, partnerships, corporations D) sole proprietorships, corporations, partnerships