Efficiencies Flashcards

1
Q

Allocative efficiency

A

Goods and services are distributed according to consumer preferences

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Productive efficiency

A

Total input results in maximum output

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Dynamic efficiency

A

Innovation reduces production costs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly