Under pure competition in the long run:

A) neither allocative efficiency nor productive efficiency is achieved.
B) both allocative efficiency and productive efficiency are achieved.
C) productive efficiency is achieved,but allocative efficiency is not.
D) allocative efficiency is achieved,but productive efficiency is not.

Allocative Efficiency

A state of resource allocation where goods and services are distributed according to consumer preferences, maximizing overall societal welfare.

Productive Efficiency

A situation where a firm or economy produces output at the lowest possible cost, using all its resources efficiently.

Pure Competition

A market structure characterized by a large number of small firms, a homogenous product, and very easy entry and exit from the market.