Which of the following is most likely to be an implicit cost for Company X?
A. Rental payments on IBM equipment
B. Transportation costs paid to a nearby trucking firm
C. Forgone rent from the building owned and used by Company X
D. Payments for raw materials purchased from Company Y
Answer: C
Economics
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The concept of rational ignorance can explain why the government might provide more than the efficient quantity of a public good
Indicate whether the statement is true or false
Economics
Suppose the demand curve for movie tickets has unitary price elasticity and the supply curve is perfectly price elastic
If 3 million tickets are currently sold at a price of $5, approximately how much tax revenue could the government generate from a $1 specific tax? A) $18 million B) $3 million C) $2.5 million D) $1.5 million
Economics