Pareto Optimization

Pareto optimization, or Pareto efficiency, is a concept in decision-making where multiple objectives are considered simultaneously. It refers to a situation where improving one aspect cannot be done without compromising another. Imagine balancing quality and cost in a product: achieving the highest quality might increase costs, while reducing costs could lower quality. The Pareto optimal point is where you can't make one aspect better without making another worse. This helps identify the best trade-offs among competing goals, ensuring resources are allocated efficiently without unnecessarily sacrificing one objective for another.