Efficiency is attained when
A)total surplus is maximized.
B)producer surplus is maximized.
C)all resources are being used.
D)consumer surplus is maximized and producer surplus is minimized.

Question

Quizplus · Accepted Answer

Efficiency is attained when total surplus (consumer surplus + producer surplus) is maximized. This means that both consumers and producers are benefiting from the allocation of resources, and there is no way to make anyone better off without making someone else worse off.

Efficiency Is Attained When