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Resources are allocated efficiently when a. the exchange value of the resources to demanders equals the opportunity cost of the resources. b. the marginal benefit to demanders of the resources in the goods they purchase is eq the marginal cost to suppliers of the resources they use in producing the goods. c. firms produce the quantity of output at which price is equal to marginal cost. d. a and b e. a. b. and c

Resources are allocated efficiently when a. the exchange value of the resources to demanders equals the opportunity cost of the resources. b. the marginal benefit to demanders of the resources in the goods they purchase is eq the marginal cost to suppliers of the resources they use in producing the goods. c. firms produce the quantity of output at which price is equal to marginal cost. d. a and b e. a. b. and c

Microeconomics: Principles & Policy
Microeconomics: Principles & Policy
14th Edition
ISBN:9781337794992
Author:William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:William J. Baumol, Alan S. Blinder, John L. Solow
Chapter15: The Shortcomings Of Free Markets
Section: Chapter Questions
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Resources are allocated efficiently when O a. the exchange value of the resources to demanders equals the opportunity cost of the resources. Ob. the marginal benefit to demanders of the resources in the goods they purchase is equal to the marginal cost to suppliers of the resources they use in producing the goods. c. firms produce the quantity of output at which price is equal to marginal cost. d. a and b e. a, b, and c
Transcribed Image Text:Resources are allocated efficiently when O a. the exchange value of the resources to demanders equals the opportunity cost of the resources. Ob. the marginal benefit to demanders of the resources in the goods they purchase is equal to the marginal cost to suppliers of the resources they use in producing the goods. c. firms produce the quantity of output at which price is equal to marginal cost. d. a and b e. a, b, and c
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