If Firm a Is Making Zero Economic Profits

question 65

Multiple Choice

If Firm A is making zero economic profits,

• A) Firm A is also making negative accounting profits.
• B) Firm A is breaking even when opportunity cost is taken into consideration.
• C) other firms want to enter the market.
• D) Firm A wants to leave the market.
• E) Firm A wants to shut down in the short run.

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Definitions:

Population Means

The average value of a numeric data set, pertaining to the entire population being studied.

Confidence Interval Estimate

A range of values, derived from the sample data, that is likely to contain the value of an unknown population parameter, with a specified level of confidence.

Democrats

A member or supporter of the Democratic Party, one of the two major contemporary political parties in the United States, traditionally associated with progressive and liberal policies.

Republicans

A member or supporter of the Republican Party, one of the two major political parties in the United States, traditionally advocating for conservative policies.