Allocative efficiency
As allocative efficiency (locare from Latin, medieval Latin Allocare, place 'in a broader sense to allocate') is referred to in the national economy and there especially in microeconomics the efficiency of pricing. One speaks of allocative efficiency when the social surplus is maximal for given costs, given demand and quality (with the exception of expansion investments). If this excess decreases, this is referred to as allocative inefficiency . The allocative efficiency is also part of the Pareto optimum .
example
An example of allocative efficiency is the artificial scarcity of special campaigns, since allocative efficiency with the connection of the wellbeing of all market participants is essential, especially for consumer goods . Her main question is whether a lower supply of consumer goods below the saturation level is more efficient than the equilibrium level. This efficiency can be determined with a cost-benefit comparison (appreciation of the good as the customer's willingness to pay and the production costs).
Individual evidence
- ↑ Jörn Kruse: Economic foundations of competition on the Internet . Ed .: Helmut Schmidt University. Düsseldorf June 2011.
- ↑ Jonas Regul: Value of inferior goods . In: Cengage Learning . Cengage, April 2018.
- ↑ Prof. Dr. Christian von Hirschhausen: Regulation management. Technische Universität Dresden, October 25, 2006, accessed on May 12, 2019 .
- ^ Paul Anthony Samuelson, William D. Nordhaus: Economics. Volume 2: Basics d. Macro and Microeconomics. 8th edition. Bund-Verlag, Cologne 1987, ISBN 3-7663-0986-2 , p. 93.