When positive economic profits exist in an industry:
A) the market price of the good produced by the industry is less than the average total cost of the industry.
B) resources flow from less productive uses to that particular industry.
C) there is an exit of firms from the industry.
D) the market price of the good produced by the industry is less than the marginal cost faced by the industry.
B
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The larger the share of a good in a consumer's budget, holding everything else constant, the
A) more unit elastic is a consumer's demand. B) more price inelastic is a consumer's demand. C) more price elastic is a consumer's demand. D) more vertical is a consumer's demand curve.
A "guaranteed" business loan is one
A) made under a line of credit. B) backed up by outside collateral. C) backed up by inside collateral. D) the business owner is personally liable for repaying.