What is allocative efficiency?
For unlimited access to Homework Help, a Homework+ subscription is required.
If for a firm P=minimum ATC=MC, then
A) both allocative efficiency and productive efficiency are being achieved.
B) allocative efficiency is being achieved, but productive efficiency is not
C) neither allocative efficiency nor productive efficiency is being
D) productive efficiency is being achieved, but allocative efficiency is not achieved.Ā
Ā
In the long-run equilibrium, a monopolistically competitive producer achieves:
A. neither productive efficiency nor allocative efficiency.
B. both productive efficiency and allocative efficiency.
C. productive efficiency, but not allocative efficiency.
D allocative efficiency, but not productive efficiency.
At its profit-maximizing output, a pure nondiscriminating monopolist achieves:
a. neither productive efficiency nor allocative efficiency.
b. both productive efficiency and allocative efficiency.
c. productive efficiency but not allocative efficiency.
d. allocative efficiency but not productive efficiency.
