A Central Planner Can Only Allocate Production Across Firms in a Way

question 17

Multiple Choice

A central planner can only allocate production across firms in a way that minimizes total costs if:

• A) the market is a perfectly competitive market.
• B) the central planner has perfect information on the firms' costs.
• C) free markets fail to achieve this kind of efficiency.
• D) the costs of production are equal across all firms.

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Definitions:

Zerk Fittings

Grease fittings that allow for the easy application of lubricant to mechanical systems with a grease gun.

Trunnions

The cylindrical protrusions used as a pivot or mounting point, typically on cannons or similar devices, but also in various machinery.

Driveshaft Diameter

the exterior thickness of the driveshaft, which can influence the torque capacity and the overall performance of a vehicle's drivetrain system.

Wall Thickness

The measurement from one inner surface to the outermost surface of a structure, often referring to pipes or structural materials.