What Three Assumptions Must Hold for the Allocation of Resources

question 39

Essay

What three assumptions must hold for the allocation of resources among firms to be efficient?

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Definitions:

Assignee

An individual or entity to whom rights or obligations are transferred from another party.

Obligor

An individual or entity legally bound to fulfill an obligation, such as paying a debt.

Obligor

A person or entity legally bound to provide a payment, service, or other benefit to another, known as the obligee.

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered or used but not yet paid for.