Economic profit is
A. Greater than accounting profit by the amount of explicit cost.
B. Less than accounting profit by the amount of explicit cost.
C. Less than accounting profit by the amount of implicit cost.
D. Greater than accounting profit by the amount of implicit cost.
Answer: C
You might also like to view...
Income is more unequally distributed than wealth in the United States.
Answer the following statement true (T) or false (F)
Country A has a higher money supply growth rate and a long-run Phillips curve that is farther to the left than country B's. In the long run as compared to country B, country A will have
a. lower unemployment and higher inflation b. higher unemployment and higher inflation c. lower unemployment and lower inflation d. None of the above is necessarily correct.
A ban on trade is known as a(n)
a. tariff b. embargo c. restraint d. fare
Which of the following is NOT a reason why real GDP can be expanded beyond a level consistent with its long-run growth path in modern Keynesian analysis?
A. The existing capital stock can be used more intensively. B. In the short run, existing workers can work more hours. C. Higher prices induce firms to hire more workers. D. Prices and wages are flexible, allowing for needed adjustments.