this post was submitted on 01 Oct 2023
1042 points (97.4% liked)

Technology

58143 readers
5397 users here now

This is a most excellent place for technology news and articles.


Our Rules


  1. Follow the lemmy.world rules.
  2. Only tech related content.
  3. Be excellent to each another!
  4. Mod approved content bots can post up to 10 articles per day.
  5. Threads asking for personal tech support may be deleted.
  6. Politics threads may be removed.
  7. No memes allowed as posts, OK to post as comments.
  8. Only approved bots from the list below, to ask if your bot can be added please contact us.
  9. Check for duplicates before posting, duplicates may be removed

Approved Bots


founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
[–] Pipoca@lemmy.world 2 points 11 months ago

Allocative efficiency in economics just means that you can't make someone better off without making someone else worse off.

An efficient allocation isn't necessarily equitable.

And the first welfare theorem of economics only claims that the market will produce an allocatively efficient result if its complete, in perfect competition, and everyone has complete information. Which has the obvious problems of those preconditions not matching reality.