Figure: Market Failure (Figure: Market Failure) in the Figure

question 187

Multiple Choice

Figure: Market Failure (Figure: Market Failure) In the figure Market Failure, if production in this competitive market is at quantity F, then:

• A)marginal benefit is equal to marginal cost.
• B)marginal benefit is less than marginal cost.
• C)marginal benefit is greater than marginal cost.
• D)price is equal to marginal cost and greater than marginal benefit.

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Definitions:

Markets

These are venues or systems where buyers and sellers interact to exchange goods, services, or financial instruments, often determining prices through supply and demand.

Operating Objectives

Specific, short-term targets set by a business or organization to ensure effective day-to-day operations and progress towards its broader goals.

Continuous Improvement

An ongoing effort to enhance products, services, or processes through incremental improvements or breakthrough achievements.

SWOT Analysis

An examination of organizational strengths and weaknesses and environmental opportunities and threats.