In the UK, a good example is the pharmaceutical industry. Companies like GlaxoSmithKline invest heavily in research and development to create new and better medicines. Although this involves high short-term costs, it leads to improved healthcare outcomes and lower costs in the long run—illustrating dynamic efficiency.

Another example is the UK energy sector, particularly the shift toward renewable energy. Investment in wind and solar power, supported by government policy, has reduced reliance on fossil fuels and led to long-term environmental and economic benefits.

Dynamic efficiency is crucial for sustained economic growth, competitiveness, and improving living standards over time.