Answer options: 1. Total or marginal 2. Total or marginal 3. Accounting, product
ID: 1158401 • Letter: A
Question
Answer options: 1. Total or marginal 2. Total or marginal 3. Accounting, production, or opportunity 6. Productive and allocative efficiency cost of production and theY cost of the resources employed to produce the last unit, consumers will value the last unit they value that consumers attach to a unit of the good. The market price of a good equates the Because the price also reflects the purchase at least as much as they would value any other good that those resources could have produced. These characteristics of perfectly competitive markets guarantee 1 -effici e sityExplanation / Answer
ANSWER:
1) Marginal
2) marginal
3) opportunity
4) allocative
reason : the marginal value that the consumers attach to every single unit is reflected by the demand curve and the supply curves represent the marginal cost of the production in the firm and so the market price is found out when these two curves intersect. if mc is higher then the consumers are willing to pay for then the firm is producing too much and the production should be cut down, till the time mc equals marginal benefit and vice versa and via this way competitive markets divert their resources that are not allocatively efficient.