Econometrica: Jul 1951, Volume 19, Issue 3
The Coefficient of Resource Utilization
Gerard DebreuA numerical evaluation of the "dead loss" associated with a non-optimal situation (in the Pareto sense) of an economic system is sought. Use is made of the intrinsic price systems associated with optimal situations of whose existence a noncalculus proof is given. A coefficient of resource utilization yielding measures of the efficiency of the economy is introduced. The treatment is based on vector-set properties in the commodity space.
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