Economic profits are calculated by subtracting:
A. explicit costs from total revenue.
B. implicit costs from total revenue.
C. implicit costs from normal profits.
D. explicit and implicit costs from total revenue.
D. explicit and implicit costs from total revenue.
You might also like to view...
Official unemployment rates may underestimate the true rate of unemployment because the official rate
A) fails to include discouraged workers. B) does not include individuals receiving any type of unemployment compensation. C) may include some individuals who are not actually in the labor force. D) includes those workers who only work part time.
Assume that the above figure represents the domestic supply and demand for coffee.The domestic price with no trade is represented by $5.50 . The price with free trade is represented by $4.00
Assume that the government places a $1 per pound tariff on imported coffee, which decreases the domestic quantity demanded of coffee by 100 million pounds and increases domestic production by 100 million pounds. Draw the rectangle that would represent the amount of tax revenue that the government would realize from this tax and calculate the dollar figure.