Perfect Competition Ensures Efficiency in Industry Output If

question 82

Multiple Choice

Perfect competition ensures efficiency in industry output if:

• A)the demand and supply curves are perfectly inelastic.
• B)the marginal cost of producing the good is zero.
• C)the demand and supply curves properly reflect the marginal benefits and costs.
• D)the market price of the commodity truly reflects the private costs of production.

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Definitions:

Expressive Aphasia

A language disorder caused by damage to the brain that affects a person's ability to produce coherent speech and language.

Prosopagnosia

A specific inability to recognize faces, even very familiar ones, with intact recognition of other objects.

Arbitrariness

The lack of any necessary or natural relationship between a sign's physical form and its meaning.

Discreteness

The characteristic of data or systems that have distinct, separate values or components.