A sunk cost is one that
a. changes as the level of output changes in the short run
b. was paid in the past and will not change regardless of later decisions
c. should determine the rational course of action in the future
d. has the most impact on profit-maximizing decisions
e. influences rational decision makers
B
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Suppose that total expenditures for coffee reach a maximum at a price of $5 per pound. At this price, the demand for coffee is:
A. elastic. B. inelastic. C. perfectly inelastic. D. unit elastic.
Pure public goods
a. are goods that are provided by the government b. are economically efficient c. are economically inefficient d. are both nonrival and nonexcludable e. are Pareto optimal
Suppose that in a closed economy GDP is equal to 11,000, taxes are equal to 1,000, consumption equals 7,500, and government purchases equal 2,000 . What is national saving?
a. -500 b. 500 c. 2,000 d. None of the above is correct.
The clearest trade-off between unemployment and inflation occurred between 1960 and 1969
Indicate whether the statement is true or false