Because the value of marginal product diminishes as the quantity of labor employed increases, the ________ the wage rate, the ________ workers the firm hires

When a market is efficient, the

A) sum of consumer surplus and producer surplus is maximized. B) deadweight gain is maximized. C) quantity produced is maximized. D) marginal benefit of the last unit produced exceeds the marginal cost by as much as possible. E) total benefit equals the total cost.

Which of the following statements is TRUE?

A) At the efficient quantity, marginal social benefit equals marginal social cost. B) Marginal social cost increases as the quantity produced decreases. C) Marginal social benefit decreases as the quantity consumed decreases. D) If marginal social benefit exceeds marginal social cost by as much as possible, production is efficient.