Which of the Following Is True in a Competitive Market

question 1

Multiple Choice

Which of the following is true in a competitive market equilibrium?

• A) Total consumer surplus equals total producer surplus.
• B) Marginal benefit and marginal cost are maximised.
• C) Consumers and producers benefit equally.
• D) The marginal benefit equals the marginal cost of the last unit sold.

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Definitions:

F-ratio Distribution

A probability distribution used in ANOVA tests, representing the ratio of two variances to assess the significance of group differences.

Positively Skewed

Describes a distribution with a tail that extends to the right, indicating a majority of the data points are situated on the left side of the distribution.

Theoretical Distribution

A mathematical function that describes all the possible values and likelihoods that a random variable can take within a given range.

F-ratios

A statistical measure calculated by dividing the variance between groups by the variance within groups in the context of an ANOVA test.