The outcome of the state of nature effects the payoff to the agent under a

An individual decides to rent an apartment for $7,000 per month. The commuting time from this apartment to his office is 80 hours per month

If the individual's opportunity cost of time is $30 per hour, calculate the direct cost, indirect cost, and total cost per month she would incur if she rents the apartment.

The main reason(s) firms in a competitive market cannot earn positive profits in the long run is(are)

a. assets can quickly move in and out of the industry when demand fluctuates b. an increase in demand leads to entry of firms which absorb the extra demand c. a decrease in demand leads to exit of firms from the market such that there is no surplus d. all of the above