When total output is maximized while keeping costs low, what is being achieved?

The achievement of maximizing total output while keeping costs low refers to optimum production efficiency. This concept involves utilizing resources and labor in such a way that the maximum possible output is produced at the lowest average cost of production.

In this scenario, optimum production efficiency indicates that resources are being allocated in the most effective manner, ensuring that production is not only at its fullest potential but also cost-effective. By producing at this level, firms can benefit from economies of scale and optimize their input, leading to an overall reduction in per-unit costs. This balance between maximum output and cost efficiency ultimately enhances profitability.

While increasing marginal returns, fixed cost minimization, and maximized variable costs may relate to certain aspects of production and cost management, they do not fully encompass the broader goal of achieving maximum output at minimal costs in the same way that optimum production efficiency does. Each of those options represents different facets of production but does not capture the comprehensive goal of balancing output and cost in the same way.