Allocative Efficiency Occurs When It Is

question 208

Multiple Choice

Allocative efficiency occurs when it is

• A) possible to produce more of one good without giving up the production of some other good.
• B) possible to produce more of all goods.
• C) not possible to produce more of one good without giving up the production of some other good that is valued less highly.
• D) not possible to produce more of one good without giving up the production of some other good that is valued more highly.

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Definitions:

Sensitive

Having the capacity to perceive and respond to changes or stimuli; can also refer to an individual's susceptibility to emotional influences.

Motivated

Having a strong willingness or drive to accomplish something or pursue a particular task.

Growth Mindset

The belief that one's talents and abilities can be developed through perseverance, effort, and the process of learning.

Fixed Mindset

The belief that one's abilities, intelligence, and talents are fixed traits that cannot be significantly developed.