One of the most common practices of the efficiency vs equity trade-off would be through the re-distribution of wealth (taxes). Economies and governments around the world all use differing tax structures trying to tote the line between efficiency and equity. Why? Because you can imagine how hard it must be to implement a tax structure that maximizes the tax revenue while also being as fair as possible.

The Dilemma? The economy wants people to work / be productive but also have social programs (welfare, EI, AISH) in place to help people through tough situations. How do you feel about our current market outcomes in terms of taxes (redistribution of wealth) and social programs, please try and explain in terms of efficiency and equity.

Your answer should be well thought through; citing examples and your opinions. This should not be a two sentence response - it IS for marks.