When an Economy Operates Efficiently

question 88

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 above are correct.

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Definitions:

Blood Alcohol Concentration

The percentage of alcohol in a person's bloodstream, used as a measure of intoxication for legal and medical purposes.

Hard Liquor

A type of alcoholic beverage that is distilled rather than fermented, resulting in a higher alcohol content.

Ethyl Alcohol

A volatile, flammable, colorless liquid also known as ethanol, commonly used in alcoholic beverages.

Psychoactive Substance

A chemical substance that changes brain function and results in alterations in perception, mood, or consciousness.