"Efficiency" refers to
A)producing output using the least amount of labor
B)producing output using the least amount of capital
C)producing as far inside the production possibilities frontier as possible
D)producing only one out of many possible commodities
E)getting the maximum possible output from available resources

Question

Quizplus · Accepted Answer

Efficiency refers to getting the maximum possible output from available resources, which is option E. Option A and B only refer to specific factors of production, while option C refers to a specific point on the production possibilities frontier, which may not necessarily be the most efficient point. Option D refers to producing only one commodity, which may also not be the most efficient use of resources.

"Efficiency" Refers to