Even Though Firms in Competitive Price-Searcher Markets Do Not Produce

Even though firms in competitive price-searcher markets do not produce at minimum ATC, competitive price-searcher markets may still be consistent with economic efficiency because

A) strict government regulations force the firms in these markets to keep their costs low.
B) they provide consumers with a greater diversity of products.
C) they encourage more advertising in both price-searcher and price-taker markets.
D) special legal protections for price searchers make it possible for them to more efficiently use resources.