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Which of the Following Is a Condition for Efficiency in the Output

Question 86

Multiple Choice

Which of the following is a condition for efficiency in the output market?


A) MRT = MPL/MPK
B) The marginal rate of substitution is the same for all customers.
C) The marginal rate of technical substitution must be the same for all producers.
D) The marginal rate of transformation must equal the marginal rate of substitution.

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