Efficiency is one of the most important goals of an economic system. An efficient economic system is one that gets the most out of an input with a little waste as possible. Another way of explaining this model would be to use to smallest amount of resources to carry out the result that is wanted. This is a theory that is almost universally accepted. The reason that people agree with it is quite simple. Nobody would want to use more of something to produce less. There is no conceivable reason to favor a more wasteful way of producing something.
The book states that an economist would say, “Resources are being used most efficiently when the outputs they produce can be sold for the highest possible monetary sums.” This statement means that material wealth is being accumulated. It is fair to say that many people are motivated by material gains. And with efficiency, maximum returns will be realized.
As important as efficiency is to an economic system, it is not the only goal. There are several other things that we want our economy to achieve. Above all else, we most vitally need a system that will provide for our physical needs. If society wants to accomplish anything, its people must first be in good health. In other words, we need to be able to eat and sleep as well as be secure and comfortable.
After society is in good health, the people need to work to their potential. It is imperative that everyone works to his or her fullest ability at the place of employment as well as at home and in their community. All people need to be treated fairly as well. When someone exerts themselves to the fullest at work, they des ...