Timeline for What does perfectly inelastic demand imply about gains from trade and domestic consumers?
Current License: CC BY-SA 3.0
6 events
| when toggle format | what | by | license | comment | |
|---|---|---|---|---|---|
| Apr 14, 2018 at 22:18 | vote | accept | CommunityBot | ||
| Aug 29, 2015 at 1:35 | answer | added | Nick | timeline score: 3 | |
| Aug 26, 2015 at 22:06 | comment | added | Giskard | It is strange that this has not yet come up, but I would not know how to define consumer surplus in this case as it seems to be infinite. Inelastic demand implies an infinitely large reservation price which means that given any finite price results in an infinite surplus. | |
| May 27, 2015 at 12:32 | answer | added | VicAche | timeline score: 1 | |
| Mar 18, 2015 at 3:48 | comment | added | NickJ | I agree with you. As shown in your graph, consumer surplus increases by A+B. Producer surplus decreases by A. Total domestic surplus increases by B. | |
| Mar 8, 2015 at 22:14 | history | asked | user4020 | CC BY-SA 3.0 |