1. Productive efficiency takes place in any market wherever

A) P = MC.
B) MR = MC.
C) P = D.
D) MC = ATC.
E) MC = AVC.

2. For a monopoly which of the following answer is WRONG?

Productive efficiency occurs:

A) at the lowest point on the ATC curve.
B) where MC = ATC.
C) for a PC firm, not for a single-price discriminating monopoly.
D) at the profit-maximizing quantity for a monopoly.
E) when the optimal combination of inputs is used to produce the maximum output for the minimum cost.

3. What quantity should the monopoly produce to maximize profits and what quantity does productive efficiency take place respectively?

A) Q2; Q3
B) Q2; Q4
C) Q3; Q4
D) Q3; Q5
E) Q3; Q6