If a decrease in income leads to an increase in the demand for macaroni, then macaroni is

Economic profits are maximized at the point at which

A) marginal revenues equal marginal costs. B) accounting profit exceeds economic profit. C) total revenues are greater than total costs. D) accounting profits are equal to zero.

When a freely functioning market is in disequilibrium:

a. the government must set a price ceiling. b. the government must set a price floor. c. the price and quantities demanded and/or supplied change until equilibrium is established. d. it will continue to remain in disequilibrium. e. it will reach equilibrium at a very high/low price.