When a Nation Is Under-Allocating Resources to the Production of a Good

question 382

Multiple Choice

When a nation is under-allocating resources to the production of a good, then the

• A) marginal benefit is greater than the marginal cost of the good.
• B) marginal benefit is less than the marginal cost of the good.
• C) marginal cost of producing the good is decreasing.
• D) marginal benefit of producing the good is increasing.

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Definitions:

Cheese

A dairy product made from the pressed curds of milk, often fermented and aged, with a wide range of flavors and textures.

Umami

One of the five basic tastes, alongside sweet, sour, bitter, and salty, characterized by a savory or meaty flavor, often attributed to glutamate and nucleotides.

Synthetic Drugs

Man-made chemical substances designed to mimic or enhance the effects of natural drugs, often used for recreational purposes.

Pain Receptors

Specialized nerve endings found throughout the body that detect painful stimuli and signal the central nervous system about potential injury or damage.