An Industry's Output Is Produced at the Lowest Possible Cost

question 27

Multiple Choice

An industry's output is produced at the lowest possible cost when

• A) firms' marginal costs are equal.
• B) firms minimize their average costs.
• C) all firms earn the same profit.
• D) output is evenly divided among the industry's firms.

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Definitions:

Additional Education

Education pursued after completing a formal course of study, often to gain new skills, qualifications, or knowledge.

On-The-Job Productivity

The measure of efficiency and effectiveness with which an employee performs their work duties while on the clock.

Discrimination

Unfair treatment or prejudicial consideration based on class, category rather than individual merit, notably in contexts like race, age, or gender.

Objectively

In a manner that is not influenced by personal feelings or opinions, based on facts.