Resource use is allocatively efficient if the
A) total cost of what the resource produces is less than the total benefit of what is produced.
B) total cost of what the resource produces is equal to the total benefit of what is produced.
C) marginal benefit of what the resource produces has diminished to zero.
D) marginal cost of what the resource produces is equal to the marginal benefit of what is produced.
D
You might also like to view...
Which of the following pairs of market types are both characterized by having a large number of firms?
A) monopoly and oligopoly B) monopoly and monopolistic competition C) perfect competition and oligopoly D) perfect competition and monopolistic competition
Which of the following is NOT a benefit to an individual purchasing a mutual fund?
A) reduced risk B) lower transactions costs C) free-riding D) diversification
The functional form of corporate organization
a. organizes employees along the functions or tasks that they perform b. organizes employees along the customer types that they serve c. organizes employees along individual projects that arise d. organizes employees into softball teams
The Phillips curve shows: a. the relationship between the interest rate and the inflation rate
b. the relationship between the inflation rate and the rate of unemployment. c. the relationship between the unemployment rate and the level of real GDP. d. the relationship between the growth rate and the inflation rate. e. the relationship between the rate of unemployment and the growth rate.