When the market for a good is in equilibrium,
A) consumer surplus will equal producer surplus.
B) the total value created for consumers will equal the total cost of production for business firms.
C) all units valued more highly than the opportunity cost of production will be supplied.
D) all units that have value will be produced, regardless of their cost of production.

Question

Quizplus · Accepted Answer

In equilibrium, all units that are valued more highly by consumers than the opportunity cost of production will be supplied, ensuring efficient allocation of resources.

When the Market for a Good Is in Equilibrium