Exact Consumer's Surplus and Deadweight Loss.

This article evaluates the consumers' surplus and deadweight loss in welfare economics. Consumer's surplus is a widely used tool in applied welfare economics. The basic idea is to evaluate the value to a consumer for a change in price of a good. In empirical situations where a measure of either the...

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Publicado en:American Economic Review Vol. 71; no. 4; pp. 662 - 677
Autor principal: Hausman, Jerry A.
Formato: Artículo
Publicado: American Economic Association Sep81
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        atl: Exact Consumer's Surplus and Deadweight Loss.
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        au: Hausman, Jerry A.
        affil:
          Professor of Economics, Massachusetts Institute of Technology
          Research Associate, National Bureau of Economics Research
      su:
        Consumers
        Surplus (Economics)
        Welfare economics
        Economic policy
        Demand function
        Economics
        Prices
      sug:
        subj:
          Consumers
          Surplus (Economics)
          Welfare economics
          Economic policy
          Demand function
          Economics
          Prices
      ab: This article evaluates the consumers' surplus and deadweight loss in welfare economics. Consumer's surplus is a widely used tool in applied welfare economics. The basic idea is to evaluate the value to a consumer for a change in price of a good. In empirical situations where a measure of either the compensating variation, equivalent variation, or deadweight loss is needed, economists often work with relatively simple demand specifications. The quasi-indirect utility function and expenditure function provide the appropriate compensated demand curve and thus the appropriate welfare measure.
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    language: English
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