Deadweight Losses Occur When the Quantity of an Output Produced

question 75

Multiple Choice

Deadweight losses occur when the quantity of an output produced is

• A)less than, but not when it is greater than, the competitive equilibrium quantity.
• B)greater than, but not when it is less than, the competitive equilibrium quantity.
• C)less than or greater than the competitive equilibrium quantity.
• D)such that the marginal benefit of the output is just equal to the marginal cost.

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Definitions:

Degrees Freedom

The number of independent pieces of information used in the calculation of a statistic, often symbolized as "df".

F-ratio Equation

Used in ANOVA tests, it calculates the ratio of variation between group means to the variation within the groups.

Correlation

Mutual or reciprocal relationship between two variables such that systematic changes in the values of one variable are accompanied by systematic changes in the values of another variable.

Regression

Use of a relationship between two or more correlated variables to predict values of one variable from values of other variables.