deadweight loss

74 examples (0.03 sec)
  • Info In economics, a deadweight loss (also known as excess burden or allocative inefficiency) is a loss of economic efficiency that can occur when equilibrium for a good or service is not achievable. more...
  • The basis of his analysis was the concept of deadweight loss.
  • The most cost-effective policy is one that has the smallest deadweight loss in achieving certain policy goals.
  • This is a net social loss and is called deadweight loss.
  • Deadweight loss does not account for the effect taxes have in leveling the business playing field.
  • So, although the exploitation rate has vanished, there is still a deadweight loss to society.
  • Any addition to the price of consumption goods or an increase in the income tax extends the deadweight loss further.
  • Production is also decreased, further decreasing social welfare by creating a deadweight loss.
  • Conversely, deadweight loss can also come from consumers buying a product even if it costs more than it benefits them.
  • Yet, because it is difficult to see tangible results of deadweight loss, policy makers largely ignore it.
  • Through what economists now call "rent-seeking" they imposed deadweight losses on the economy.
  • The deadweight loss can then be interpreted as the difference between the equivalent variation and the revenue raised by the tax.
  • Protectionism results in deadweight loss; this loss to overall welfare gives no-one any benefit, unlike in a free market, where there is no such total loss.
  • This is because almost all taxes impose what economists call an excess burden or a deadweight loss.
  • PED and PES can also have an effect on the deadweight loss associated with a tax regime.
  • The deadweight loss is then the economic benefit foregone by these customers due to the monopoly pricing.
  • The deadweight loss can then be interpreted as the minimum lump sum.
  • The yellow triangle shows the overall deadweight loss inflicted on both groups by the monopsonistic restriction of employment.
  • The seller produces more of his product than he would to achieve monopoly profits with no price discrimination, which means that there is no deadweight loss.
  • Ending direct payments to farmers and deregulating the farm industry would eliminate inefficiencies and deadweight loss created by government intervention.
  • The inefficiency associated with artificial scarcity is formally known as a deadweight loss.
  • Next »