Firms in an oligopoly market can potentially earn economic profits.
a. In the short run, but not the long run

The income earned by the people who sell the services of the factor of production ________ is called ________

A) capital; rent B) entrepreneurship; wages C) land; profit D) entrepreneurship; profit

Markets are often inefficient when negative externalities are present because

a. private costs exceed social costs at the private market solution. b. externalities cannot be corrected without government regulation. c. social costs exceed private costs at the private market solution. d. production externalities lead to consumption externalities.