Entry into a competitive market will continue until

A) economic profits are zero.
B) normal profits are zero.
C) when accounting losses are zero.
D) a. and b. are true

A

Economics

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"In the past five years the average price of our Chevrolets has risen about 6 percent a year, and each year we have sold 10 percent more cars than the previous year." How can this car dealer sell more cars as the price of the cars increases?

What will be an ideal response?

Economics

One criticism of the corporate income tax is that

A) it is too regressive. B) it is too flat. C) it is so complex to administer that corporate income taxes are rarely collected by the Internal Revenue Service. D) a portion of the corporations' tax burden is passed on to consumers via higher prices for goods and services and to workers via lower wages.

Economics