Economic profit is most closely associated with:

A) the process of saving and investing.
B) monopoly,innovation,and uninsurable risks.
C) long-run competitive equilibrium.
D) a static economy.

Economic profit is a measure of profit that includes the opportunity cost of capital and requires that total revenue be greater than total costs, including both explicit and implicit costs. Economic profit is associated with monopoly because monopolies have the ability to control prices and earn above-normal profits. Economic profit is also associated with innovation because innovative firms are able to create new products, processes, or business models that give them a competitive advantage and the ability to earn economic profits. Finally, economic profit is associated with uninsurable risks because firms that face high levels of risk may require higher profits to compensate for that risk.