Productive efficiency (at the level of the firm) is a goal that is sought
A) by no firms in any market.
B) by profit- maximizing firms in all market structures.
C) only by perfectly competitive firms.
D) only by profit- maximizing imperfectly competitive firms.
E) only by profit- maximizing firms in an oligopolistic market structure.

Question

Quizplus · Accepted Answer

Productive efficiency is a goal that is sought by profit-maximizing firms in all market structures, not just perfectly competitive firms. It involves minimizing the firm's average total cost by producing at the lowest possible cost per unit, which enables the firm to maximize profits or minimize losses.

Productive Efficiency (At the Level of the Firm) Is a Goal