If the expansion of an export industry leads to the provision of infrastructure such as roads or airports, this is called a(n)

Cash may be preferred to food stamps because additional cash

A) rotates the budget constraint. B) shifts out the budget constraint at every point. C) provides a smaller opportunity set. D) allows the purchase of more food.

Scott used $4,000,000 from his savings account that paid an annual interest of 5% and a $60,000 loan at an annual interest rate of 5% to purchase a hardware store. After one year, Scott sold the business for $4,100,000 . His economic profits is:

a. $300,000 b. $100,000 c. $97000 d. None. He runs an economic loss of $103,000