Duration Refers To

question 11

Multiple Choice

Duration refers to:

• A) how hard you exercise.
• B) how often you exercise.
• C) how long you exercise.
• D) none of these.

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Definitions:

Economic Profits

Profits that exceed the costs of all inputs, including both explicit costs (like wages and materials) and implicit costs (like the opportunity cost of capital).

Industry Equilibrium

A state where supply and demand in an industry are balanced, leading to stable prices and quantities.

Economic Profits

The difference between total revenue and total costs, including both explicit and implicit costs, indicating the financial gain in excess of the opportunity costs.

Long-run Equilibrium

A state in which all firms in a market are earning zero economic profits, ensuring that no firm has an incentive to enter or exit the market.