Question

35) Consider two firms, A and B, that are producing the same product but with different marginal costs. In this case, A) a reallocation of output between the firms can lower the industry's total cost. B) neither firm is producing its output at the lowest attainable cost. C) some resources must be unemployed. D) each firm is being wasteful. E) the industry as a whole is operating at the lowest possible cost of production.