Source: wikibot/fundamental-theorems-of-welfare-economics
= Fundamental theorems of welfare economics
{wiki=Fundamental_theorems_of_welfare_economics}
The Fundamental Theorems of Welfare Economics consist of two key results that connect the allocation of resources in a market economy with the concepts of efficiency and optimality. These theorems provide a theoretical foundation for understanding how competitive markets operate and under what conditions they lead to socially desirable outcomes.