Economic Profits Are Calculated By

question 37

Multiple Choice

Economic profits are calculated by:

• A)taking the difference between total revenue and the sum of explicit and implicit costs.
• B)taking the difference between total revenue and explicit costs only.
• C)taking the difference between the total revenue and implicit costs only.
• D)summing total revenue,explicit costs,and implicit costs.

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Definitions:

Independent Variables

Factors in an experiment that are intentionally changed to observe their effect on dependent variables.

Placebo

A compound that does not have any healing properties, employed as a standard in evaluating new medications.

Demand Characteristics

Demand characteristics refer to the subtle cues or signals that can influence participants’ behavior in experiments, biasing the results.

Representative

Someone who acts or speaks on behalf of others, often in a professional setting or within legislative bodies.