• Pipoca@lemmy.world
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    1 year ago

    Efficiency in economics has a particular technical definition.

    Pareto efficiency or Pareto optimality is a situation where no action or allocation is available that makes one individual better off without making another worse off

    Free markets are great at producing outcomes that are efficient in a particular technical sense, but not especially equitable.

    • irmoz@reddthat.com
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      1 year ago

      Yes, capitalism is insanely efficient at its real purpose - funneling wealth to the top.