SOPHIA

Don't lose your points!
Sign up and save them.

Free Educational Resources

Teachers

Classroom Resources

FREE Professional Development

Succeed with any tool, any platform, any software with PD courses from Teacher Professional Development

Teacher Professional Development

Students

ACT Test Prep

Homework Help

Fun Self-Discovery Tools

+

3 Tutorials that teach Deadweight Loss

Take your pick:

Colton Cranston

Try a College Course Free

Sophia’s self-paced online courses are a great way to save time and money as you earn credits eligible for transfer to over 2,000 colleges and universities.*

Begin Free Trial

No credit card required

28 Sophia partners guarantee credit transfer.

253 Institutions have accepted or given pre-approval for credit transfer.

* The American Council on Education's College Credit Recommendation Service (ACE Credit®) has evaluated and recommended college credit for 22 of Sophia’s online courses. More than 2,000 colleges and universities consider ACE CREDIT recommendations in determining the applicability to their course and degree programs.

Tutorial

open player in a new window

Source: SOURCE: Image of For Rent Sign Creative Commons http://clickandprintfree.com/sale/sale01.html

Video Chapters

(00:00 - 00:13) Introduction

(00:14 - 03:06) Market Surplus

(03:07 - 05:30) Price Floor-Deadweight Loss

(05:31 - 06:54) Price Ceiling-Deadweight Loss

(06:55 - 08:24) Summary

Notes for "Deadweight Loss"

Key Terms

Deadweight loss

A situation, often caused by an imposed constraint, that results in either excess demand or supply occurring at the market price due to the inability of the market to adjust to market clearing price and quantity.

Consumer surplus

Determined by the difference between actual price paid for a good and the highest amount the consumer would have willingly paid for the good.

Producer surplus

The difference between actual payment for a good and the least amount a producer would have willingly agreed to receive for the good.