Efficiency (economics)

Economic efficiency is a general term for the value assigned to a situation by some measure designed to capture the amount of waste or "friction" or other undesirable and undesirable economic features present.

There are several measures of economic efficiency, including:

• Pareto efficiency
• Kaldor-Hicks efficiency
• X-efficiency
• Allocative efficiency

For applications of these principles see:

• Efficient market hypothesis
• Welfare economics
• Production theory basics

See also

• Business efficiency
• Inefficiency

See also: Efficiency (economics), Allocative efficiency, Business efficiency, Economics, Efficient market hypothesis, Finance, Inefficiency, Kaldor-Hicks efficiency, Pareto efficiency