Ask Question
9 October, 10:13

When there is allocative efficiency in a market, the buyers' maximum willingness to pay for the last unit traded is equal to the sellers' minimum acceptable price for that unit. True or false

a. True

b. False?

+4
Answers (2)
  1. 9 October, 12:25
    0
    That answer is A. True
  2. 9 October, 13:53
    0
    The correct answer is letter "A": True.

    Explanation:

    Allocative Efficiency takes place when the preferences of the consumers are the priority. Under that scenario, the output level of the price of a product equals the marginal cost of production. This happens as a result of the consumers' willingness to pay for the product a price that equals the marginal utility of the producers.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “When there is allocative efficiency in a market, the buyers' maximum willingness to pay for the last unit traded is equal to the sellers' ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers