The socially efficient quantity is found where the demand curve intersects the marginal cost curve.

Question

Quizplus · Accepted Answer

The socially efficient quantity of a good or service occurs at the point where the demand curve (representing the marginal benefit to consumers) intersects the marginal cost curve (representing the cost to society of producing one more unit), ensuring that the resources are allocated in the most efficient way possible.

The Socially Efficient Quantity Is Found Where the Demand Curve