Productive efficiency for an individual firm requires that
A)P = ATC for all goods.
B)all resources be fully used.
C)MC = P for all goods.
D)the firm be allocatively efficient.
E)the firm be on its LRAC curve.

Question

Quizplus · Accepted Answer

Productive efficiency occurs when a firm produces at the lowest point on its long-run average cost (LRAC) curve, minimizing costs and using resources efficiently.

Productive Efficiency for an Individual Firm Requires That