1.The distinction between efficiency and equality can be described as follows:…

1. The distinction between efficiency and equality can be described as follows:
a. Efficiency refers to minimizing the price paid by buyers; equality refers to maximizing the gains from trade among buyers and sellers.
b. Efficiency refers to maximizing the size of the pie; equality refers to producing a pie of a given size at the least possible cost.
c. Efficiency refers to maximizing the size of the pie; equality refers to distributing the pie fairly among members of society.
d. Efficiency refers to maximizing the number of trades among buyers and sellers; equality refers to maximizing the gains from trade among buyers and sellers.
2. If a consumer places a value of $13 on a particular good and if the price of the good is $16, then the
a. consumer enjoys consumer surplus if he or she buys the good.
b. market is not a competitive market.
c. consumer does not purchase the good.
d. price of the good will fall due to market forces.