When an Economy Operates Efficiently

question 28

Multiple Choice

When an economy operates efficiently,

• A)the MRPs of every input into the production of a good are equal.
• B)marginal utility equals marginal cost for every good.
• C)the price of a good equals the sum of the marginal physical products of its inputs.
• D)All of the responses are correct.

---

Definitions:

Work Process

Describes the sequence of steps or tasks undertaken to produce a product or service, often emphasizing efficiency and quality.

Feedforward Controls

A management technique that involves monitoring inputs and providing feedback before tasks are carried out to ensure goals are met efficiently.

Preliminary Controls

Initial measures or procedures put in place to monitor and regulate processes or operations.

Objectives

Specific, measurable goals that are designed to achieve the overall aim of an individual or organization.