When a market is incomplete, it typically fails to make the optimal allocation of assets.

Mises and Hayek stated that the information reflected in market prices leads to socially optimal allocation of resources.

Does this division lead to optimal allocations of capital?

Emphasis is placed on the optimal allocation of resources for both individuals and corporations.

We mean that the market conditions are not producing a socially optimal allocation of resources.

On the other hand, optimal allocation would give so that i.e.

Selecting these n optimally can be done in various ways, using (for example) Neyman's optimal allocation.

This approach, in theory, leads to an optimal allocation of resources; where harm can be cheaply avoided, the legal system requires precautions.

Also, the amount of labor sold would also be lower than the competitive optimal allocation.

"All in all, the banks' power disturbs the competitive process and the optimal allocation of resources," he said.