Question

The idea of efficiency often arises when measuring a society's well-being. There are two kinds of efficiency: productive efficiency and allocative efficiency. What does productive efficiency refer to? The maximum level of production of goods and services for a society The production level that equates marginal benefit and marginal cost The minimum level of production of goods and services for a society The production of goods and services in the least costly way possible

Answer 1

Answer:

The correct answer is letter "A": The maximum level of production of goods and services for a society.

Explanation:

Production efficiency or productive efficiency is the point in which an economy cannot increase output in a good or service without lowering the production level of another product. An economy that operates along its production possibility frontier (PPF) has maximized its production efficiency. In other words, that economy is working at its maximum possible level.