Resources are efficiently allocated when production takes place at that output where price equals?
a
marginal revenue
b
average variable cost
c
marginal cost
d
toal cost
Explanation
Correct Option
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colikstan
3 years ago
Where Price = marginal cost
If marginal cost is greater than P then production is unfavourable. It's efficient when P=MC and MC=MR
Eryne
1 year ago
answer is C (Price=marginal cost ). Efficient allocation of resources occurs when firms incur low production cost and, when P=MC of production it shows that the firm made efficient utilization of its resources
