When economic profits are zero, accounting profits
A) must be positive.
B) will be negative.
C) will equal zero.
D) could be positive, negative or zero.
Answer: A
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The text compares the macroeconomic performance of Great Britain and France immediately following Great Britain's departure from the ERM in 1992. What does it conclude?
A) The rate of growth of real GDP was higher in France than in Great Britain. B) The rate of growth of real GDP was lower in France than in Great Britain. C) The rates of growth of real GDP were equal in France and in Great Britain. D) GDP growth of both Great Britain and France increased dramatically after Great Britain withdrew from the ERM.
The increase in revenue created by hiring one more unit of labor is the
A) marginal product of labor. B) marginal revenue of labor. C) marginal product revenue of labor. D) value of marginal product of labor.