A central planner can never allocate output across firms in such a way as to minimize the total costs of production.

Name: A central planner can never allocate output across firms in such a way as to minimize the total costs of production.
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Question

Quizplus · Accepted Answer

A central planner can theoretically allocate resources efficiently to minimize total production costs by equalizing the marginal costs across firms, similar to how a competitive market would.

A Central Planner Can Never Allocate Output Across Firms in Such