Pareto efficient

Adjective

Meaning

Pareto efficient (comparative more Pareto efficient, superlative most Pareto efficient)

(game theory, economics) Describing a situation in which the profit of one party cannot be increased without reducing the profit of another.

Pareto-efficient (comparative more Pareto-efficient, superlative most Pareto-efficient)

Alternative spelling of Pareto efficient

Alternative names

Pareto-efficient

Synonyms

Examples

In the absence of externalities and public goods, perfectly competitive equilibria are Pareto-efficient, i.e. no improvement in the utility of a consumer is possible without a worsening of the utility of some other consumer. Source: Internet

By restricting attention to the set of choices that are Pareto-efficient, a designer can make tradeoffs within this set, rather than considering the full range of every parameter. Source: Internet

The Bolzano–Weierstrass theorem allows one to prove that if the set of allocations is compact and non-empty, then the system has a Pareto-efficient allocation. Source: Internet

Close letter words and terms