Resources are allocated efficiently when
A) the exchange value of the resources to demanders equals the opportunity cost of the resources.
B) the marginal benefit to demanders of the resources in the goods they purchase is equal to the marginal cost to suppliers of the resources they use in producing the goods.
C) firms produce the quantity of output at which price is equal to marginal cost.
D) a and b
E) a, b, and c
Correct Answer:
Verified
Q58: Exhibit 22-3 Q59: In the short-run, if P < ATC, Q60: In order for a firm to continue Q61: If firms are earning zero economic profits, Q62: If an industry is in long-run competitive Q64: If the perfectly competitive firm is producing Q65: The short-run industry supply curve is the Q66: Assume a constant-cost industry that is initially Q67: Demand increases in an increasing-cost industry that Q68: Why must profits be zero in long-run
A)horizontal
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents