When is the law of diminishing marginal returns relevant? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a when a firm can change all of its inputs b when a firm can only change one of its inputs c when a firm is advertising d when a firm is not using all of its inputs

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Productive and Allocative Efficiency Analysis

Productive efficiency, also referred to as production efficiency is a term in economics describing the level at which a company is operating at its maximum capacity. Beyond this point, the entity will be unable to manufacture any additional goods without cutting down another product’s production level. This occurrence is an outcome of production happening alongside a Production Possibility Frontier (PPF).