Question

How do entrepreneurs ensures economic efficiency?

• A. By reducing wastes
• B. By increasing yields
• C. By technical progress
• D. All of the above

Answer 1

The correct option is D All of the above

Economic efficiency does not only mean gaining profits. For ensuring economic benefits many factors have to be considered. Entrepreneurs by focusing on some areas achieve economic efficiency.

By reducing wastes in production, by increasing yields per input and focusing on technical progress an entrepreneur achieves economic efficiency.