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Question
A market has reached an efficient outcome when
a. producers are able to produce and sell as much as they like.
b. total surplus is minimized.
c. producer surplus is greater than consumer surplus.
d. consumers are able to purchase as much as they like.
e. total surplus is maximized.
Answer
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Related questions
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What is the long-run consequence of a price ceiling law?
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Suppose Solomon lives in a community with no price controls. What do you expect will happen if his town borders a community where there is a binding price ceiling on most products?
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