At the current production point on a nation's production possibilities frontier, the marginal benefit of a slice of pizza is 500 tacos while the marginal cost of producing a slice of pizza is 750 tacos

For the nation to produce at the point of allocative efficiency, what should be done?

The marginal benefit of a slice of pizza is less than its marginal cost. Therefore to produce at the point of allocative efficiency, less pizza and hence more tacos should be produced.

Economics

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Say's Law refers to the concept that: a. increases in aggregate demand create unionization. b. demand creates its own supply

c. supply creates its own demand. d. flexible wages affect price levels.

Economics

The value of transactions in the underground economy is estimated to be about what percentage of GDP in the United States?

A. 2 percent B. 8 percent C. 19 percent D. 25 percent

Economics