Author Question: For an inferior good: a. the income elasticity is positive. b. the income elasticity if negative. ... (Read 147 times)

melina_rosy · **on:** Jun 30, 2018

For an inferior good:
a. the income elasticity is positive.
b. the income elasticity if negative.
c. the income elasticity is zero.
d. the income elasticity is unity.

Question 2

A firm's accounting profit is called a normal profit when its:
a. accounting profit is equal to zero.
b. economic profit is equal to zero.
c. opportunity cost is equal to zero.
d. average cost is minimum.
e. economic profit is equal to accounting profit.