General equilibrium and welfare Flashcards by Max Eustance Brougham | Brainscape

Q

Tatonnement is when:

A

Only when the auctioneer finds a market clearing price does trading proceed

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Q

What is Pareto optimality?

A

When it is impossible to make consumer A better off without making consumer B worse off

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Q

Every point on the contract curve is:

A

Pareto efficient

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