Question

The concept of "Pareto Efficiency" in welfare economics suggests:

• A. An allocation where it is impossible to make someone better off without making someone else worse off.
• B. An allocation where all resources are equally distributed.
• C. A state of zero government intervention in the economy.
• D. Maximizing the profit of the wealthiest members of society.

Answer 1

Answer:

A. An allocation where it is impossible to make someone better off without making someone else worse off.

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