If a country cannot produce more of one good without producing less of another good that people value more highly, then _____________________.

resource use is efficient
the opportunity cost is the lowest possible
the resources used have the highest possible value
resource use is inefficient

Marginal benefit is the benefit received from ______________________.

consuming more goods or services
consuming one more unit of a good or service
producing the efficient quantity
consuming the efficient quantity

Marginal cost is the value of the _________________________.

equilibrium quantity
efficient production
best alternative forgone
marginal benefit

The value of a carton of ice cream equals all of the following items except the ___________________.

price paid for the carton of ice cream
maximum price that people are willing to pay for it
marginal benefit from consuming it
price paid for the carton plus the consumer surplus from it

Consumer surplus is the ____________________________.

total cost paid by consumers
the number of goods sold times the market price
value of the good minus its price
greatest when price increases

Producer surplus is the price of the good _____________________________.

subtracted from the value of the good
plus the consumer surplus
minus its opportunity cost of production
times the quantity sold

Utilitarianism is a principle whose goal is _______________.

the greatest happiness for the greatest number
the greatest pay for the greatest number
equal pay for equal work
equal happiness for all workers

A cost borne not by the producer but by other people is called _____________ cost.

an opportunity
a consumer
an external
a marginal

An external benefit is a benefit that _________________.

accrues to someone other than the buyer of a good
is greatest at the equilibrium point
experiences increasing marginal returns
always equals external cost

At inefficient levels of production, __________________________________.

producer surplus is greater than consumer surplus
the market price is greater than the monopoly price
deadweight loss occurs
consumer surplus is greater than producer surplus

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