Every allocation of goods in a one good world is efficient because:
A)MRSs are equalized.
B)there is enough to go around for everyone.
C)no one can be made better off without making someone else worse off.
D)it doesn't matter to whom an extra unit of the good is given.

Question

Quizplus · Accepted Answer

Efficiency in a one good world means that no one can be made better off without making someone else worse off. This is because there is only one good to allocate, so any additional allocation to one person must come at the expense of another person’s allocation. Therefore, a distribution of the good that is efficient is one where no one can be made better off without making someone else worse off.

Every Allocation of Goods in a One Good World Is