Implicit costs are
A) the costs of using factors that a producer hires or rents.
B) the opportunity costs of using factors that a producer does not buy or hire but already owns.
C) costs that are taken into consideration by accountants.
D) costs that are variable in the short run and fixed in the long run.
Answer: B
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A) probability distribution B) frequency C) expected value D) coin toss
In which of the following situations will the price of medical care decrease with an increase in its demand?
a. When the supply of medical care is the same as the demand for medical care b. When there is an increase in productivity as a result of a technological advancement c. When there is an increase in the price of resources used to produce medical care d. When the supply of medical care increases more than the demand for medical care e. When there is an increase in future profit expectations