Allocative Efficiency Occurs When

question 52

Multiple Choice

Allocative efficiency occurs when

• A) we cannot produce more of any good without giving up some other good that we value more highly.
• B) we cannot produce more of any one good without giving up some other good.
• C) marginal benefit exceeds marginal cost.
• D) opportunity costs are decreasing.

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Definitions:

ADDA

American Design Drafting Association, an organization that supports professionals in the drafting and design industry.

Reference Dimension

A measurement provided on a drawing or in a set of specifications for informational purposes only, not subject to inspection.

Diameter

A linear measurement of a circle across the center point from one edge to the opposite edge.

Symbol Ø

A symbol used in technical drawing to denote diameter of a circle.