Examlex
Each of the following statements is true EXCEPT
Contract Curve
In an Edgeworth box diagram, it represents the set of optimal distribution points for two traders based on their preferences.
Efficient Input Use
Utilization of inputs in a manner that maximizes the output or minimizes the cost under given technology and constraints.
MRTS
The Marginal Rate of Technical Substitution measures the rate at which one input can be substituted for another input in the production process, while keeping output constant.
Pareto Optimality
A distribution of resources where no one can be made better off without causing detriment to at least one other person.
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