When total surplus is maximized, then this implies that the output level will be produced where MC = MU.

Name: When total surplus is maximized, then this implies that the output level will be produced where MC = MU.
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Quizplus · Accepted Answer

Yes, when total surplus is maximized, it means that the market is producing at a point where the marginal cost (MC) of production is equal to the marginal utility (MU) that consumers derive from the good or service. This is known as the efficient level of output.

When Total Surplus Is Maximized, Then This Implies That the Output