Economic profits and losses:
A. are both considered by economists to be a part of production costs.
B. are essential to the reallocation of resources from less desired goods to more desired goods.
C. have no influence on the composition of the domestic output.
D. equalize the distribution of income in the long run.
Answer:B
Economic profits and losses:
A. are both considered by economists to be a part of production costs. B. are essential to the reallocation of resources from less desired goods to more desired goods. C. have no influence on the composition of the domestic output. D. equalize the distribution of income in the long run.