Allocation
In general, the allocation of limited resources to different uses. – In particular, the allocation of money to the best host (most favorable allocation of resources) in the market process. As a rule, it is assumed that the most successful host is also willing to pay the highest interest rate because he finances very promising projects (profitable investments) or breaks bottlenecks and thus contributes best to the supply of goods. – See investment diversification, money purpose, investment, market, perfect, net welfare loss, riskignorance.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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