When there is an excess of expected net income over the cost of capital
A) abnormal net income is positive.
B) accounting profits are negative.
C) abnormal net income is negative.
D) economic profits minus abnormal net income is negative.
A
Economics
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If Caterpillar Inc raises the price of earth-moving equipment that it manufactures in Illinois, then the CPI will ________ and the GDP deflator will ________
A) increase; increase B) increase; increase by less than the CPI C) increase; not change D) not change; not change E) not change; increase
Economics
All normal goods have
A) income elasticities of demand greater than 1.0. B) price elasticities of demand greater than 1.0. C) negative price elasticities of demand. D) positive income elasticities of demand.
Economics