Refer to the Diagram

question 209

Multiple Choice

Refer to the diagram. The production of Q ₁ units of output at an average cost of a

• A)is not possible, given present technology and resource prices.
• B)can be achieved if the firm would hire the optimal mix of resources.
• C)would entail X-inefficiency.
• D)can be realized if the last dollar spent on each input were equal to its marginal product.