What Do We Mean By Productive Efficiency?
When we talk about production efficiency this is a state where a manufacturing unit or an economy creates goods by maximum utilization of reprises and operations are maximized in their efficiency. This can be associated with allocative efficiency as well, which is a measure of the goods used to create a certain number of final goods and services. If the lowest inputs are utilized, the costs of production would be lowered as well. The main aim for productive efficiency is…