Suppose a Professor Gives Up Her Teaching Job to Devote

question 92

Multiple Choice

Suppose a professor gives up her teaching job to devote her time to writing textbooks.Soon after,salaries for professors rise.As a result,_____

• A)her accounting profit will rise.
• B)her accounting profit will fall.
• C)her explicit costs will rise.
• D)her economic profit from textbooks will fall.
• E)her economic profit from textbooks will rise.

---

Definitions:

Money Supply

The total amount of monetary assets available in an economy at a specific time, including cash, coins, and balances held in checking and savings accounts.

Exchange Rates

The value of one currency for the purpose of conversion to another, influencing international trade and investment.

Economic Growth Rates

Represents the percentage increase in the value of all goods and services produced in an economy over a specific period, indicating the economy's health and expansion.

Interest Rates

The amount charged, expressed as a percentage of the principal, by a lender to a borrower for the use of assets.