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For Resource Use to Be Allocatively Efficient,when the Marginal Benefit

Question 339

Multiple Choice

For resource use to be allocatively efficient,when the marginal benefit of a slice of pizza exceeds the marginal cost,________.


A) more slices of pizza should be produced
B) fewer slices of pizza should be produced
C) no more slices of pizza should be produced
D) allocative efficiency is reached only if the marginal benefit exceeds the marginal cost by as much as possible
E) None of the above answers is correct.

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