The difference between tax revenues and total federal expenditures over a given period of time represents total government debt

Which of the following is not a cost posed by inflation?

A) Firms must pay for changing prices on products and printing new catalogs. B) The money that consumers and firms hold loses its purchasing power. C) Banks can lose if they under predict inflation and charge an interest rate that does not completely compensate for inflation. D) Inflation reduces the affordability of goods and services to the average consumer.

Competition has driven the economic profits in the video rental business to zero. Surya Bacha, who owns a video rental business, would be better off leaving the industry for another alternative

Indicate whether the statement is true or false