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Pareto Efficient
An economic state where resources are allocated in a way that it is impossible to make any one individual better off without making at least one individual worse off.
Efficiency
A measure of how well resources are used to achieve a goal, maximizing output from given inputs without waste.
Equity
The concept of fairness or justice, often discussed in the distribution of wealth, or the ownership interest in a firm.
Perfectly Competitive System
A market structure where many firms offer products or services that are similar, leading to a high level of competition and prices that reflect the true supply and demand.
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