If the Current Allocation of Resources in the Market for Wallpaper

question 56

Multiple Choice

If the current allocation of resources in the market for wallpaper is efficient,then it must be the case that

• A)producer surplus equals consumer surplus in the market for wallpaper.
• B)the market for wallpaper is in equilibrium.
• C)on the last unit of wallpaper that was produced and sold,the value to buyers exceeded the cost to sellers.
• D)All of the above are correct.

---

Definitions:

Sight Draft

A financial instrument that is payable on presentation or sight to the drawer.

Payable

Refers to debts or obligations of an individual or company that are due to be paid to creditors.

Acknowledged

Recognized or accepted as valid or true by a person or entity.

Negotiable

Refers to financial instruments or contracts that can be easily transferred or sold to another party.