Productive efficiency is a situation where firms seek the best combination of inputs to lower their costs of production. Allocative efficiency means that economic resources are distributed in a ...

This may include money, human capital, production equipment ... such as brushing teeth. Allocative efficiency occurs in an efficient market when capital is allocated in the best way possible ...

Currently, the United States leads the world among our sample countries in allocative efficiency, a measure of how well an economy’s resources are distributed to its most productive uses. We calculate ...

Improving current expenditure requires improving the productive- and allocative efficiency of expenditure, which in other words means that expenditure should be shifted away from unproductive ...