For a change to be potentially efficient, no one can be made worse off.

Question

Quizplus · Accepted Answer

For a change to be potentially efficient, it must be possible to make at least one person better off without making anyone worse off, according to the Pareto efficiency principle. However, in practice, some changes considered efficient may make some individuals worse off, as long as the overall welfare increases and the losses can be compensated (in theory) by the gains of others.

For a Change to Be Potentially Efficient, No One Can