The word "allocative" refers to the process of distributing or assigning resources in an efficient and effective manner. It involves making decisions on how to use resources to meet various needs and demands. Full definition
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A basic principle of economics is to allocate scarce resources in an efficient way, that is to say in a way in which those given scarce resources are able to produce the maximum benefit for the whole society (maximisation of allocative efficiency). (slaw.ca)
The alleged allocative cost of this crowd - out (because the market so flawlessly allocates credit, right? (jaredbernsteinblog.com)
The op - ed authors» plan would in some ways worsen allocative decisions by allowing companies to fully expense investments while fully deducting interest costs. (crfb.org)