Suppose that a firm's long-run average total costs of producing an individual income tax return is $75 when it produces 1,000 returns and $75 when it produces 1,200 returns. For this range of output, the firm is experiencing

Suppose, in dollar terms, nominal GDP increased approximately 4 percent during a given year, and real GDP decreased 1 percent. Which of the following best explains these events?

a. The money supply increased approximately 4 percent. b. Prices decreased approximately 3 percent. c. Prices increased approximately 4 percent. d. Prices increased approximately 5 percent.

A profit-maximizing firm in a monopolistically competitive market can earn positive, negative, or zero profits in the short run

a. True b. False Indicate whether the statement is true or false