If the Marginal Benefit of a Good Exceeds Its Marginal

question 192

Multiple Choice

If the marginal benefit of a good exceeds its marginal cost

• A) we should produce less to achieve the allocatively efficient use of resources.
• B) weʹve achieved efficient resource use.
• C) we should produce more to achieve the allocatively efficient use of resources.
• D) we cannot tell if more or less should be produced to achieve the allocatively efficient use of resources.

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Definitions:

Distinctive Competition

Is the unique competitive edge or positioning that sets an entity apart from its competitors in the marketplace.

Unique

Being the only one of its kind; without equal or equivalent in characteristic or importance.

Starbucks Coffee

An international coffee company and coffeehouse chain known for its specialty coffee drinks.

Geographic

Relating to geography, the study of the physical features of the earth and its atmosphere, and of human activity as it affects and is affected by these.