Which of the Following Is Necessary for Allocative Efficiency to Be

Multiple Choice

Which of the following is necessary for allocative efficiency to be achieved?

A) Marginal benefit must be maximized.
B) Marginal cost must be minimized.
C) Marginal benefit must equal marginal cost.
D) The difference between marginal benefit and marginal cost must be maximized.
E) Production must be at a point inside the production possibilities frontier.