If there is overproduction in a competitive market, the quantity produced is________ than the efficient quantity and the marginal benefit to society is ________than the marginal cost.

Question

Quizplus · Accepted Answer

In a competitive market, overproduction means that more of a good is produced than is efficiently demanded, leading to a situation where the marginal benefit to society (the additional benefit from consuming one more unit of the good) is less than the marginal cost (the additional cost to produce one more unit of the good). This imbalance indicates that resources are being wasted on producing goods that are valued less by society than their production costs.

If There Is Overproduction in a Competitive Market, the Quantity