Which of the Following Is True? When There Are No

question 64

Multiple Choice

Which of the following is true? When there are no externalities,public goods,common resources,taxes or subsidies,then
i.allocative efficiency occurs when marginal benefit exceeds marginal cost by as much as possible.
ii.an a competitive equilibrium,resource allocation is efficient.
iii.fair rules require income transfers from the rich to the poor.

• A) only ii
• B) only i
• C) only iii
• D) i and ii
• E) i and iii

Distinguish selection biases and their impact on the internal and external validity of a study.

Understand the principle of utility and its application in resolving the water-diamond paradox.

Calculate marginal and total utility from given data.

Understand and apply the concept of consumer surplus.

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Definitions:

Goals and Tasks

Objectives that an organization or individual plans to achieve, along with the specific actions required to attain them.

Resources Available

The assets, materials, and other supplies that are readily accessible and can be used to achieve goals or complete tasks.

High Profit

A significant amount of earnings exceeding the costs and expenses of operating a business or investment.

Business Growth Stage

The phase in a company's lifecycle where it experiences expansion through increased market share, customer base, or product lines.