Operation X Feeds into Operation Y

question 3

Multiple Choice

Operation X feeds into Operation Y.Operation X has an effective capacity of 55 units per hour.Operation Y has an effective capacity of 50 units per hour.Increasing X's effective capacity to ensure that Y's utilization is maximized would be an example of ________ a constraint.

• A)overcoming
• B)outsourcing
• C)insourcing
• D)cushioning
• E)none of the above

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Definitions:

Deadweight Loss

An economic inefficiency resulting from the lack of or impossibility to attain equilibrium in the market for a particular good or service.

Tax Revenue

The income generated by the government through the imposition of taxes on goods, services, and income.

Supply and Demand

Supply and demand is a fundamental economic model describing how prices and quantities of goods and services are determined in a market.

Tax Burden

The impact of a tax on the welfare of an economy, often measured as the portion of total income or expenditure paid in taxes by individuals or businesses.