Emma owns a firm that produces umbrellas. Currently, Emma produces 2,500 umbrellas a day. Emma cannot produce more umbrellas in a day unless she purchases another machine or else hires more workers. Emma is ________ efficient.
A)economically
B)economically and technologically
C)technologically
D)not
E)capital and labour

Question

Quizplus · Accepted Answer

Emma can produce 2,500 umbrellas a day using her current machines and workers, so she is technically efficient. However, we cannot determine whether she is economically efficient without more information about her costs and revenue.

Emma Owns a Firm That Produces Umbrellas