ECON 3 EfficiencyWatch
Does anyone have a good guide to the types of efficiency (Dynamic, Productive etc)
Allocative efficiency = producing what meets consumers demand, price reflects cost of production - P=MC.
Productive efficiency = MC = ATC i.e. lowest point on ATC.
Dynamic efficiency is efficiency over time - new products, processes and techniques which cause a rise in economics growth.
I hope these are right.