The market for cashews is Which of the following. Chamberlain University × Week
ID: 1110484 • Letter: T
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The market for cashews is Which of the following.
Chamberlain University × Week 4: MEL Homework Do Homework-Pamela Harris × https://wwww.mathxl.com/Student/ aspx?homeworkld Q Search Principles of Economics Pamela Harris I 11/17/17 11:50 AM Homework: Week 4 Homework 35 pts Save Score: 0 of 1 pt 16 of 35 (13 complete) HW Score: 36.19%, 12.67 of 35 pts Checkpoint 4 Test A 1 Question Help * The graph shows the market for cashews. Price (dollars per pound) 24 The equilibrium price of cashews is $12.00 a pound and the equilibrium quantity of cashews is 8 billion 20 The market for cashews is 16 A. efficient because the benefit from each pound of cashews consumed equals the cost of growing it O B. efficient because the marginal benefit from cashews equals the marginal cost of producing them, 12 which is $12.00 a pound O C. efficient only if the total benefit from the cashews equals $12.00 a pound O D. inefficient only if the cost of growing all the cashews is an average of $12.00 a pound O E. inefficient because growers of cashews receive a large producer surplus 9.0 12 16 Quantity (billions of pounds per year) Click to select your answer and then click Check Answer. All parts showing Clear All Check Answer 1:50 PM Type here to search 11/17/20174Explanation / Answer
Option a
Because under perfect competetion the market is efficient where MC=MR, which means the additional cost incurred for production of good should equals to its additional revenue
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