Examlex
The type of training to offer employees can often be difficult to determine.
Allocative Efficiency
A state of the economy in which production represents consumer preferences; in other words, every good or service is produced up to the point where the last unit provides a marginal benefit to consumers equal to the marginal cost of producing it.
Long-Run
A period of time in economics during which all factors of production and costs are variable, allowing for complete adjustment to changes.
Average Total Cost
The sum of average variable costs and average fixed costs, or simply the total cost divided by the quantity of output produced.
Constant-Cost Industry
An industry in which the entry and exit of firms have no effect on the prices firms in the industry must pay for resources and thus no effect on production costs.
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