Market efficiency
What Market efficiency means in Economics A-Level, as defined for AQA.
Definitions of Market efficiency
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Reference: AQA
Enhanced productive and allocative efficiency arising as firms are forced to compete under competition policy.
What free market supply-side policies allow markets to function with, by reducing government intervention.
Topics that use Market efficiency
- Competition policy (AQA A-Level)
- Supply-side policies (AQA A-Level)
Related terms
- Capital investment
- Consumer welfare
- Economic incentives
- Economic modelling
- Firm behaviour
- Free market supply-side policies
- Government failure
- Human capital
Using Market efficiency in the exam
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