When a firm is at its short-run break-even point
A. economic profits are negative but the firm should continue to produce because accounting profits are positive.
B. economic profits equal zero and the firm should shut down.
C. economic profits are positive.
D. economic profits equal zero and the firm is earning a nominal rate of return on investment.
Answer: D
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What is behavioral economics?
What will be an ideal response?
Homelessness is not caused by _____
a. the high cost of housing in cities b. the deinstitutionalization of the mentally ill c. drug abuse d. housing subsidies
Which of the following is not an example of a capital good?
a. a pencil sharpener in an office b. an oven in a pizza restaurant c. a sawing machine at a local lumber yard d. a computer in a business e. a teacher's ability to speak two languages
Ceteris paribus is:
A. the Latin term for "all other things being the same." B. often used by economists to isolate the effect of a multiple changes that are important. C. only necessary for the definition of the law of demand. D. the Latin term for "as things change only consider these changes".