Introduction to Economics 1 Deneme Sınavı Sorusu #756464

What does ‘allocative efficiency’ refer to?


An economic situation when the supplies excess the demand

A situation when the social benefit equals the cost of production

A situation in which production meets consumer preferences

A level at which resources are used efficiently for maximum production

A level at which additional amounts of a good can no longer be produced


Yanıt Açıklaması:

Allocative efficiency refers to a situation in which production meets consumer preferences. In other words, it is an economic concept that occurs when the output of production is as close as possible to the marginal cost. The correct answer is C.

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