Asked by Stacey Nolasco on May 01, 2024
Verified
Economics alone cannot determine the best way to balance the goals of efficiency and equity.
Efficiency
The optimal use of resources to achieve the best possible outcome or output with minimal waste.
Equity
Equity refers to fairness or justice in the way people are treated and involves ensuring equal opportunities and rights for all individuals.
- Detail the consequences of taxes on the operational effectiveness of the economy and the occurrence of deadweight loss.
Verified Answer
KM
kimish mominMay 05, 2024
Final Answer :
True
Explanation :
Economics provides tools and frameworks to analyze and understand the trade-offs between efficiency and equity, but determining the "best" balance involves value judgments and societal priorities that go beyond purely economic considerations.
Learning Objectives
- Detail the consequences of taxes on the operational effectiveness of the economy and the occurrence of deadweight loss.