The difference between zero accounting profit and zero economic profit is that
a. an economic profit of zero indicates a fair rate of return because it includes opportunity cost. opportunity cost and
b. an economic profit of zero indicates an unacceptable rate of return because it does not include opportunity cost.
c. an economic profit of zero indicates more than a fair rate of return because it includes opportunity cost and explicit cost..
d. an accounting profit of zero indicates a fair rate of return because it includes opportunity cost.
a
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Which of the following involves banks borrowing funds from firms or other banks using the value of underlying securities as collateral?
A) federal funds B) repurchase agreement C) counterparty lending D) money market account
Which of these represents an example of citizens who would not typically be counted as unemployed?
A) when your economics professor loses his job and gets a new one at McDonald's B) when your fourteen-year-old cousin loses her summer job in September C) when your neighbor has been out of work for so long that he decides to stay at home and write a novel D) all of the above E) none of the above