Y1 21) What is Allocative Efficiency?

Y1 21) What is Allocative Efficiency?

Y1 21) What is Allocative Efficiency? Crucial video to understand a fundamental concept is Economics - What is Allocative Efficiency?

[ramanujanvenkatraman]

The 14 dislikes are students who forgot to write cetirus paribus

[UmuPadoru]

Thank you so much, I actually kind of understand this now

[samueljwilson]

Not sure if this video is meant to be out yet but 3 vids in 1 day, I feel spoilt.Also I'm in year 12 looking to do economics at uni and wondered if you had any tips or advice, cheers :)

[Matt-otjn]

Ive not got this for a year before this video THANK YOU

[yufeizhu]

Does it mean that the assumption behind the allocative efficiency model is perfect competition market?

[justintyme]

I am struggling to understand why net social benefit increases the closer you get to Q*, since surely NET means SB - SC (which is why it isn't maximised when quantities past Q* are produced), and therefore net social benefit would be greatest at 0, 0 since SB is at its highest and SC is at its lowest? Thanks for clearing this up!

[gjzgtjw]

Am I right to say allocative efficiency is where welfare is maximised, as price is as low as possible without the firm making a loss? Allocative efficiency=sales max=welfare max=(AR=MC)?

[ayushhongkong]

my teacher taught me although we say marginal private "cost" it still refers to a firms positive gain aswell, is this true???? someone please help.

[aidenstonehouse]

I don't understand why you're saying past Q* cost is higher then benefit. What do you mean by this?

[michellepun]

how does the law of diminishing marginal returns relate to mpc?

[zenameditation]

Looking for a way to stay focused and centered while studying for exams? Say hello to Zena Meditation! Our channel provides a perfect mix of soothing meditation tracks and calming study music to help you stay in the zone and improve your concentration. With 0 subscribers, we're the best-kept secret to help you ace your exams. So why not give us a try? Subscribe today and let Zena Meditation be your study buddy. Your mind (and GPA) will thank you!

[grundewesenberg]

You make an assumption early on that MPC=MSC in a free market (no external costs), that you don't include in the list of assumptions at the end.

[seniruhasith]

Cant we say (-social cost= social benefit).?

[oneinabillion]

Then does P=MC mean that P is MSB and MC is MSC?

[IWouldntAimHere]

This guy wearing suncream when he looks at the camera