The demand and cost conditions in an industry are as depicted in Figure 11-8. In the viewpoint of economic efficiency, what would the ideal price and output be?

A) price, $10; quantity produced, 100
B) price, $15; quantity produced, 50
C) price, $15; quantity produced, 75
D) price, $20; quantity produced, 50

Economic Efficiency

A condition in which resources are distributed in a manner that optimizes the creation of goods and services while minimizing expenses.

Demand Conditions

The market requirements and consumer preferences that influence the demand for goods and services, including price, quality, and accessibility.

Cost Conditions

The factors that influence the expenses associated with producing goods and services, including materials, labor, and overhead.