In the production possibilities frontier depicted in the graph, which of the following combinations of hats and bananas is generated by an efficient allocation of resources (no misallocated resources)?
A) 0 million pounds of bananas and 6 million hats
B) 2 million pounds of bananas and 5 million hats
C) 3 million pounds of bananas and 4 million hats
D) All of the above combinations are efficient.
Answer: D