The AB Manufacturing Company has hired an economist to evaluate its financial situation. She explains to the board of directors that the company is making zero economic profit. Should the company go out of business?
The company should remain operating. Earning zero economic profit implies that the firm has an accounting profit equal to what the firm could be making at its highest valued alternative. A situation where zero economic profit is made would be considered normal.
Economics
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During 2005, real GDP in Ireland grew 9.8 percent. If Ireland maintains this level of growth in the future, real GDP will double in approximately how many years?
What will be an ideal response?
Economics
Data collected on the same observation unit at a number of points in time are called:
A) cross-section data. B) time series data. C) panel data. D) none of the above.
Economics