Question

in economice term what does it mean to say that producer can produce goods more efficiently

Answer 1

The term efficiency in widely used in Economics . You will see it in the context of most of the economic activities like production distribution, allocation and exchange.

However meaning of the term differs with respect to its context.ln the context of production, efficiency is associated with costs

Production is said to be efficient if goods and services are produced at the lowest cost. Resources are combination insuch a way to produce the given output at the lowest possible cost possible.

* There for when it's said that, a producer can produce more efficiently than others, it means that he can produce output at a lower cost than others. He is better at combining inputs in such a way that minimises the costs to produce given level of output.