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Which of the following is required for an economy to be allocatively efficient?

JSmith1

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Which of the following is required for an economy to be allocatively efficient?

Which of the following is required for an economy to be allocatively efficient?

▸ Marginal cost equals price for all goods.

▸ All firms employ least-cost production techniques.

▸ Imperfectly competitive markets are regulated.

▸ The marginal costs of all firms in an industry are equal.

▸ The economy's resources are fully employed.

Textbook

Microeconomics

Microeconomics

Edition: 17^th

Author: Ragan

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