A firm operating in a perfectly competitive industry will shut down in the short run if its economic profits fall to zero because it is likely to be earning negative accounting profits

When economists use the terms "supply" and "demand," they are referring to

A) the roles economists must take to improve the economy. B) the plans and ongoing negotiations among individual traders in the market process. C) the ways people meet their needs in society. D) the supply of money and the demand for money. E) the supply of laws and the demand for laws in a well-governed society.

The economy's factors of production are not equally suitable for producing different types of goods. This principle generates:

A) economic growth. B) technical efficiency. C) resource underutilization. D) the law of increasing opportunity cost.