Asked by Ysobelle Eustaquio on Jun 09, 2024
Verified
The most efficient combination of resources in producing a given output is the combination that
A) comes closest to using the same quantities of land, labor, capital, and entrepreneurial ability.
B) minimizes the cost per unit of output.
C) uses the smallest total quantity of all resources.
D) conserves most on the use of labor.
Most Efficient Combination
The optimal mix of factors or inputs that produces the highest output or outcome for a given set of resources or costs.
Cost Per Unit
The total expense incurred to produce, store, and sell one unit of a product or service.
- Determine the elements that affect the choice of production methods and their impact on economic productivity.
Verified Answer
GM
Giuseppe MaggioJun 13, 2024
Final Answer :
B
Explanation :
Minimizing the cost per unit of output is the definition of efficiency in the context of resource allocation. This means using resources in a way that achieves the desired output at the lowest possible cost, which is the essence of economic efficiency. Choices A, C, and D do not necessarily lead to the most efficient combination of resources for producing a given output.
Learning Objectives
- Determine the elements that affect the choice of production methods and their impact on economic productivity.