What term describes the allocation of resources based on who wins a competition or contest?

The term that best describes the allocation of resources based on who wins a competition or contest is "Contest." In economics, contests are mechanisms where individuals or entities compete to achieve a goal, often with the understanding that the resources or rewards will be allocated based on performance. This concept is particularly relevant in situations where the motivation to compete drives innovation and efficiency.

Contests often foster an environment where participants must utilize their skills, knowledge, and resources effectively to gain an advantage over others. This method of resource allocation contrasts with other systems, such as market-based allocations, where prices dictate the distribution of resources based on supply and demand.

In this context, the other terms do not accurately describe the competitive nature of resource allocation through contests. Market power refers to the ability of a firm to influence prices and market conditions, while public goods and services pertain to goods that are non-excludable and non-rivalrous. Economic growth is a broader concept regarding the increase in the economic output of a country over time, not specifically related to competitive resource allocation.