What Is Difference Between Resource Allocative Efficiency And Productivity Efficiency?
Resource allocative efficiency VS Productivity efficiency Firstly, productivity efficiency refers to the difference between the actual and optimal quantity of production. For example: If you can write ten blogs in a week but you are writing only 5, then your productivity efficiency is 50%. On the other hand, resource allocative efficiency is the state of producing optimal quantity of a good. Following the previous example, if you are writing 10 blogs in a month then you are in “Resource allocative efficiency”. RAE means that you are using your time in the most efficient manner possible in writing a blog.
