Any business wanting to attract financial capital must expect to

A. keep implicit costs as close to zero as possible.
B. earn a positive economic profit.
C. pay a normal rate of return.
D. pay a below normal rate of return in order to make a positive rate of return itself.

Answer: C

Economics

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Classical macroeconomists think that supply shocks are ________ than demand shocks and that government intervention in the economy is ________.

A. less important; usually unwarranted B. less important; often vital C. more important; usually unwarranted D. more important; often vital

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