Figure 11-2

-An efficient allocation of resources exists if
A)one group of people can get more of the things they want without someone else having to give up anything.
B)no one can get more of the things he or she wants without someone else having to give up something.
C)the economy operates at any point under the production possibilities frontier.
D)the economy is operating at any point above the production possibilities frontier.

Question

Figure 11-2
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-An efficient allocation of resources exists if
A)one group of people can get more of the things they want without someone else having to give up anything. 
B)no one can get more of the things he or she wants without someone else having to give up something. 
C)the economy operates at any point under the production possibilities frontier. 
D)the economy is operating at any point above the production possibilities frontier.

Quizplus · Accepted Answer

An efficient allocation of resources, also known as Pareto efficiency, occurs when no individual or preference criterion can be better off without making at least one individual or preference criterion worse off. This means that resources are allocated in such a way that it is impossible to improve anyone's situation without worsening someone else's, indicating that all resources are utilized as efficiently as possible.

Figure 11-2 ​

Figure 11-2