Question A2 a) What is the relevance of productive and allocative efficiency to the growth process?...

Question A2

a) What is the relevance of productive and allocative efficiency to the growth process? Explain

b) The achievement of full employment is a sufficient condition for the achievement of economic growth. Evaluate.

Expert Solution

Rahul Sunny answered 3 years ago

Which of the following statements is true about productive and allocative efficiency? Productive efficiency and allocative...

Which of the following statements is true about productive and allocative efficiency? Productive efficiency and allocative efficiency can only occur together; neither can occur without the other. Productive efficiency can only occur if there is also allocative efficiency. Society can achieve either productive efficiency or allocative efficiency, but not both simultaneously. Realizing allocative efficiency implies that productive efficiency has been realized. Select which of the statements below aretrue. Both pure and monopolistically competitive firms do not need to advertise their...

1) Define productive efficiency. Does productive efficiency imply allocative efficiency? Explain. Productive efficiency is a situation...

1) Define productive efficiency. Does productive efficiency imply allocative efficiency? Explain. Productive efficiency is a situation in which the economy could not produce any more of one good without sacrificing production of another good. In other words, productive efficiency occurs when a good or a service is produced at the lowest possible cost. Productive efficiency can be defined as producing goods and services for the lowest cost. Productive efficiency does not imply allocative efficiency because a firm or an industry...

Monopolistic competition results in allocative Inefficiency and productive efficiency. Inefficiency and productive inefficiency. Efficiency and productive...

Monopolistic competition results in allocative Inefficiency and productive efficiency. Inefficiency and productive inefficiency. Efficiency and productive efficiency. Efficiency and productive inefficiency.

Explain to your boss how technological advance increases productive efficiency and allocative efficiency.

In monopolistically competitive markets, neither allocative nor productive efficiency is realized" explain.

2. Of the 4 markets discussed, which market structure can achieve allocative and productive efficiency in...

2. Of the 4 markets discussed, which market structure can achieve allocative and productive efficiency in the long run 3. Which market structure can have both homogeneous and differentiated products 4. Describe the characteristics of a pure monopoly 5. What are the benefits of monopolistic competition? 6. Please explain how shut-down rule is applied. 7. Discuss the major barriers to entry into an industry

Compare and contrast allocative inefficiency and productive inefficiency.

Define productivity efficiency and allocative efficiency. What conditions must be met in order to achieve them?

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods...

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods (two goods produced with one resource) falls on its Production Possibilities Frontier. Yet allocative efficiency additionally requires optimality in consumption. Explain overall allocative efficiency (do not worry about the possibilities of international trade)-- its conditions in the absence of market failures and why it does not hold in reality.

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods...

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods (two goods produced with on resource) falls on its Production Possibilities Frontier. Yet allocative efficiency additionally requires optimality in consumption. Explain overall allocative efficiency (do not worry about the possibilities of international trade)-- its condition in the absence of market failures and why it does not hold in reality.

Question

Question A2 a) What is the relevance of productive and allocative efficiency to the growth process?...

Solutions

Expert Solution

Related Solutions

Which of the following statements is true about productive and allocative efficiency? Productive efficiency and allocative...

1) Define productive efficiency. Does productive efficiency imply allocative efficiency? Explain. Productive efficiency is a situation...

Monopolistic competition results in allocative Inefficiency and productive efficiency. Inefficiency and productive inefficiency. Efficiency and productive...

Explain to your boss how technological advance increases productive efficiency and allocative efficiency.

In monopolistically competitive markets, neither allocative nor productive efficiency is realized" explain.

2. Of the 4 markets discussed, which market structure can achieve allocative and productive efficiency in...

Compare and contrast allocative inefficiency and productive inefficiency.

Define productivity efficiency and allocative efficiency. What conditions must be met in order to achieve them?

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods...

Efficiency in production (as part of allocative efficiency) is achieved if an economy's combination of goods...