Can you explain this? I thought that it would be options C: when all resources are being used. ### Efficiency in EconomicsEfficiency occurs when ______________.- O producer surplus is maximized- O total surplus is maximized- ● all resources are being used- O consumer surplus equals producer surplusIn this multiple-choice question, the correct answer, indicated by the filled circle, is "all resources are being used."Economists define efficiency in several ways, depending on the context. Specifically:- **Producer Surplus:** The difference between what producers are willing to accept for a good or service versus what they actually receive.- **Total Surplus:** The sum of consumer surplus and producer surplus, representing the total benefits to society from the production and consumption of the good or service.- **Consumer Surplus:** The difference between what consumers are willing to pay for a good or service versus what they actually pay.When "all resources are being used," it refers to an efficient allocation where there are no unutilized resources, thus maximizing societal welfare. This efficient state often aims for the highest possible total surplus. However, in some economic theories, maximizing total surplus often indicates efficient use of resources, implying that resources are not wasted or unused.

In a society, resources are not available in infinity amounts. For example, there is limited time in…

Answered: Efficiency occurs when O producer…

Efficiency occurs when O producer surplus is maximized O total surplus is maximized all resources are being used consumer surplus equals prodcer surplus

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Is this example also an example of economically rational decision making? “In 2019, I started my small business by selling prints of my photographs. Now it’s temporarily closed. During this time I had the option of shipping my prints through USPS or UPS. I decided to ship my prints through USPS instead of UPS since it was a bit expensive at the time. My prints that were shipped out from USPS arrived in time and came in good condition. The opportunity cost is the cost of UPS shipping.”
1. Rats run on treadmills according to the function: E = 5 +62R-R² where E = volts of electricity R = number of rats Rats cost $10 each. Electricity can be sold on the grid for $5 per volt. It costs $500 to build a large cage for the rats. Show your work/thought process: a. What is the optimal amount of rats (R) to purchase? b. Given your answer in part a, what is the total amount of electricity (E) that will then be produced?
Explain a situation where you had to make a choice given different options due to limited resourcea?
Define scarcity, choice, and opportunity cost and explain how they are related and why they are so essential in the study of economics.
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Which of the following fully defines scarcity When the resource is hard to find If the resource is very valuable If the want for the resource exceeds the availability of it the resource
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Using your own words, Explain how does the study of economics depend upon the phenomenon of scarcity?