Attaining "Allocative Efficiency" Means That

question 155

Multiple Choice

Attaining "allocative efficiency" means that

• A) the law of increasing opportunity costs has reached a maximum.
• B) the least costly methods are being used to produce a product.
• C) resources are being devoted to the production of products most desired by society.
• D) the gap between marginal benefits and marginal costs of the product is biggest.

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Definitions:

Negation

In logic, negation refers to the operation of changing a statement's truth value from true to false, or vice versa.

Disjunction

A logical operation that yields true if at least one of its operands is true.

Conditional

A logical statement that has an "if-then" form, specifying that one proposition depends on another for its truth.

Symbolize

To represent or stand for something else, especially through the use of symbols or symbolic language.