Use the Following Figure to Answer the Question : Figure

question 3

Multiple Choice

Use the following figure to answer the question : Figure 20-1 : D₁ and S₁ are the private demand and supply curves,of a commodity produced by a competitive firm.S₂ reflects the social marginal cost of production,while S₀ represents the external marginal cost.
-From Figure 20-1,we can infer that the efficient output is:

• A)900 units.
• B)500 units.
• C)400 units.
• D)600 units.

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Definitions:

Pilot Test

An initial small-scale implementation used to evaluate the feasibility, duration, cost, and adverse events involved in a research project.

Scientific Experimentation

The systematic investigation of scientific theories and hypotheses through controlled testing and observation.

Background Research

The process of gathering existing information and data on a specific topic, to understand prior developments and inform new inquiries or hypotheses.

Experiment

A scientific procedure undertaken to make a discovery, test a hypothesis, or demonstrate a known fact.