Which of the following statements is FALSE?
A. The production function shows the technical relationship between a firm's inputs and outputs.
B. The production function presents the technically efficient methods of combining inputs to produce output.
C. Included in the firm's short-run production function are both fixed and variable inputs.
D. An efficient firm can obtain more output than the production function shows.
Answer: D
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A. A free loader B. A free rider C. Selfish D. An opportunist
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A) pecuniary externality B) network externality C) moral hazard D) adverse selection
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