Economics 9708 · AS & A Level · Behavioural economics

Behavioural economics — practice question

(a)[12]

A dictionary gives efficiency as ‘the power to produce the result intended’. Explain what is meant by reaching economic efficiency and why this achievement is regarded as important.

(b)[13]

Discuss whether it is sometimes necessary to use the public sector, rather than the private sector, to try to achieve economic efficiency.

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