Maths Help?
http://mathforum.org/dr.math/faq/faq.0.to.0.power.html
You are not "right" to say that 0^0 = 1. The fact is that you can expand the equation using different rules for how exponents are defined and get different values. Because you can get different values, it is said to be undefined or indeterminent.
However, it is often useful to define a "default" value for a function at those points where the function is discontinuous. And one (but not the only) convention for n^x where n,x = 0 is to say "1 is as good as any value here."
While your math teacher is more correct than you are, you aren't wrong either. However, the reason you're not wrong is not because of a property of the equation, but because of lots of people looking at the problem the same way you are and choosing to assign a value to make things more consistent for practical, not mathematical, reasons.
http://mathforum.org/library/drmath/view/55764.html