A Pareto optimal distribution of goods is _____.
A)always efficient and equitable
B)efficient but not always equitable
C)not always efficient but equitable
D)neither efficient nor inequitable

Question

Quizplus · Accepted Answer

A Pareto optimal distribution of goods is one where no one can be made better off without making someone else worse off. This means that the distribution is efficient in that resources are allocated to their highest value use, but it is not necessarily equitable as some individuals may receive more resources than others. Therefore, option B is the correct answer as a Pareto optimal distribution is efficient but not always equitable.

A Pareto Optimal Distribution of Goods Is _____