Allocative Efficiency and Marginal Benefit
Completion requirements
Watch this video on allocative efficiency and marginal benefit using the
production possibilities frontier. The PPF can illustrate two kinds of
efficiency: productive and allocative. Make sure you understand that
while the PPF shows many combinations that are productively efficient,
only one of the productively efficient choices will be the allocatively
efficient choice for society as a whole.
Source: Khan Academy, https://youtu.be/RRPtqGergDI
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Last modified: Wednesday, 15 November 2023, 3:02 PM