Efficiency in a market occurs when the production of the good is such that
A) marginal benefit exceeds marginal cost.
B) marginal benefit equals marginal cost.
C) marginal benefit is lower than marginal cost.
D) the marginal cost stops increasing.
E) marginal benefit exceeds marginal cost by the maximum amount possible.
B
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The quantity of tickets demanded to the Super Bowl is always greater than the quantity supplied
Which of the following in the best explanation why the National Football League does not raise the price of tickets to the level where the quantity demanded equals the quantity supplied? A) The cost of raising the price and printing new tickets would exceed the revenue the NFL would receive from higher ticket prices. B) Raising the price would reduce the demand for tickets; there would then be a surplus and the game would not sell out. C) The demand for Super Bowl tickets is elastic; raising the price would reduce total revenue. D) The NFL is concerned that raising ticket prices would be considered unfair.
Productivity is _________ per unit of ___________.
A. output; input B. input; output C. labor; capital D. None of these choices are true.