Economics A-Level
Equity versus efficiency
What Equity versus efficiency means in Economics A-Level, as defined for AQA.
Definition of Equity versus efficiency
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Reference: AQA
The mechanism ignores equity, meaning goods are allocated based on purchasing power rather than need, while its impersonal nature is associated with allocative efficiency.
Topics that use Equity versus efficiency
- How markets and prices allocate resources (AQA A-Level)
Related terms
- Asymmetric information
- Economic efficiency
- Economic incentives
- Equity vs efficiency
- Ethics in economics
- Incentive function
- Incentives
- Market failure
Using Equity versus efficiency in the exam
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