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When Producing at a Point of Production Efficiency

Question 66

Multiple Choice

When producing at a point of production efficiency,


A) our choice of goods to produce can be either on or inside the production possibilities frontier.
B) we can satisfy all our wants.
C) the opportunity cost of producing goods other than those measured on the axes of the production possibilities frontier is zero.
D) we face a tradeoff and incur an opportunity cost.
E) resources are either unused or misallocated.

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