Is there a trade-off between equity and efficiency in public policy, or can the two goals be reached simultaneously? Hyman (2021) addresses this issue of analyzing social choices and shows how utility curves are used to determine trade-offs. The utility curve concept measures the benefits received by different groups in relation to their costs. Further, Hyman (2021) defines the efficiency criterion as using resources in a way that makes it “impossible to increase the well-being of any one person without reducing the well- being of any other person” (p. 50).
By Day 3
Post by Day 3 an explanation for how public policies might be designed so that they are both equitable and efficient. Your explanation should include the following:
A description of the efficiency criterion that shows how the marginal conditions for efficiency can be used to identify efficient public service delivery that is also equitable
An explanation of how a utility-possibility curve can illustrate trade-offs between equity and efficiency
A description of why knowing who benefits from a proposed policy and whether changes in income distribution result is important
Be sure to support your post with specific references to the Learning Resources and other peer-reviewed sources and provide full APA-formatted citations for your references.