Relative Elasticities and Surplus Distribution
In any market, the way the total surplus is shared between consumers and producers is determined by the relative elasticities of the demand and supply curves. [7] The group that is less responsive to price changes (the more inelastic side of the market) will gain a larger portion of the surplus.
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CORE Econ
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Introduction to Microeconomics Course
The Economy 2.0 Microeconomics @ CORE Econ
Ch.8 Supply and demand: Markets with many buyers and sellers - The Economy 2.0 Microeconomics @ CORE Econ
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