When Production Reflects Consumer Preferences, ________ Occurs

question 34

Multiple Choice

When production reflects consumer preferences, ________ occurs.

• A)allocative efficiency
• B)productive efficiency
• C)equity
• D)efficient central planning

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Definitions:

Appreciate

To recognize the full worth of something or to increase in value over time.

Currency Devaluations

A reduction in the value of a currency with respect to other currencies in the foreign exchange market, typically by government policy.

Imports

Goods or services brought into a country from abroad for sale.

Expensive

Describing items or services that require a high financial outlay to purchase relative to their perceived value or compared to alternatives.