Informational asymmetry may apply to a hidden action or hidden characteristic where the informed party may be reluctant to reveal relevant information

A positive externality ________

A) gives rise to external benefits B) leads to increasing returns to scale C) imposes an additional cost on the society D) leads to higher economic profit

If a firm sells more than the break-even quantity,

a. It will make a profit b. It will only cover the variable costs c. It will make a loss d. A firm is unable to sell above the break-even quantity