Within a traditional economy resources are allocated by custom and tradition, the given and needed supply and demand of the people. In a command economy resources are allocated by the government who designates a set price for products.What is an optimum resource allocation?
Optimum Resource Allocation. In an orthogonal frequency-division multiplexing (OFDM) system , the frequency band is split into multiple independent resource blocks that can be modeled as non-interfering flat narrowband channels.What is the optimal allocation of resources?
The allocation of resources in an economy is Pareto optimal, often called Pareto efficient, if it is not possible to change the allocation of resources in such a way as to make some people better off without making others worse off. A perfectly competitive market can be shown to deliver a Pareto optimal allocation of resources.