As the total quantity of land is fixed the payment for land is termed as economic rent

At a trough in the business cycle, the macroeconomic equilibrium is ________ the level of potential real GDP

A) equal to B) rising above C) greater than D) less than E) None of the above answers is always correct because the relationship depends on whether the previous phase of the business cycle had been a recession or an expansion. The table gives the aggregate demand and aggregate supply schedules for a nation.

Under monopoly, a firm:

a. is a price taker. b. maximizes profit by setting marginal cost equal to marginal revenue. c. will shut down in the short-run if price falls short of average total cost. d. always earns a pure economic profit.