When an economy is operating with maximum efficiency, the production of more of commodity A will mean the production of less of commodity B because:
A)of the law of decreasing opportunity costs.
B)material wants are insatiable.
C)resources are limited.
D)resources are not specialized and are imperfectly substitutable.

Question

Quizplus · Accepted Answer

When an economy is operating at maximum efficiency, resources are fully utilized, and producing more of one good requires reallocating resources from the production of another good due to their limited availability.

When an Economy Is Operating with Maximum Efficiency, the Production