1. Where does productive efficiency occur?
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Other questions in this quiz
2. Improving products helps a firm gain or at least retain ______ in the face of competition
- Market share
3. Where does allocative efficiency occur?
4. What is true of allocative efficiency?
- The price paid by the consumer represents the price the supplier is willing to sell for
- The price paid by the consumer represents the true cost of producing the last unit
- The price paid by the consumer represents the lowest cost of producing the last unit
5. What is dynamic efficiency?
- Dynamic efficiency is improvements in products, processes and productivity over time by exploiting economies of scale or successful investment in research and development. In short, efficiency over time.
- Dynamic efficiency is the creative work undertaken to apply scientific and technological innovations to products and processes.
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