Difference between revisions of "Allocative efficiency"
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(New page: Allocative efficiency is another term for Pareto optimal: it is the economic situation when no person can make a trade or reallocation of resources that makes him better off without m...) |
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Revision as of 21:11, May 20, 2007
Allocative efficiency is another term for Pareto optimal: it is the economic situation when no person can make a trade or reallocation of resources that makes him better off without making others worse off.
In other words, this is an optimal allocation of resources or goods.