If the total output of some industry is allocated among its individual firms in such a way that the total cost of producing the industry's output is minimized,we know the industry has achieved
1)full employment of resources;
2)productive efficiency;
3)allocative efficiency.
A)1 only
B)2 only
C)3 only
D)both 1 and 3
E)both 2 and 3

Question

Quizplus · Accepted Answer

Productive efficiency occurs when the industry produces its output at the lowest possible cost, which is achieved when the total cost of producing the industry's output is minimized.

If the Total Output of Some Industry Is Allocated Among