Using the Following Information A) Which Method Is More Efficient, Method a or Method

question 44

Essay

Using the following information, $\begin{array} { | l | l | l | l | } \hline \text { Method } & \text { Labour } & \text { Capital } & \text { Output } \\\hline \text { A } & 3 \text { units } & 1 \text { unit } & 5 \text { units } \\\hline \text { B } & 4 \text { units } & 1 \text { unit } & 5 \text { units } \\\hline \text { C } & 2 \text { units } & 2 \text { units } & 5 \text { units } \\\hline\end{array}$ a) which method is more efficient, Method A or Method B?
b) which method is more efficient, Method A or Method C?

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Definitions:

Intrinsic Value

The true, inherent, and perceived value of an asset, not necessarily reflected in its current market price.

Medium Of Exchange

is anything widely accepted as a means for payment of goods and services, facilitating trade by avoiding the limitations of barter.

Economic Efficiency

A state in which every resource is optimally allocated to serve each individual or entity in the best way while minimizing waste and inefficiency.

Fiat Money

Money that is recognized as legal tender by a government, though it lacks backing by any tangible asset.