Question

In what sense is the notion of “social surplus” an appropriate or inappropriate measure of overall...

In what sense is the notion of “social surplus” an appropriate or inappropriate measure of overall human well-being? You may, for instance, provide an example for which it is a good measure and an example for which it is a bad one, and argue why that is.

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Social surplus is the sum of consumer surplus and producer surplus. A two-sector model comprises of consumers and producers only. Consumer surplus is the difference between maximum willingness to pay of a consumer and its actual price while producer surplus is the difference between minimum willingness to accept of a producer and its actual price.

The only problem with this measure is in the presence of positive and negative externality when goods are underproduced and overproduced respectively.

For eg, in case of positive externality, social surplus is much higher while in negative externality it is lower.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
we discussed the regulation of media sources, ending on a brief discussion of the notion of...
we discussed the regulation of media sources, ending on a brief discussion of the notion of regulating "obsene" or "indecent" speech in the form of particular words being considered inappropriate for broadcast (radio and network television). We looked at a performance of George Carlin's "Seven Dirty Words" where he explores the difficulty in regulating language that is in constant change as well as arguing, through humor, that regulation of language is in a sense absurd. When certain words carry a...
1. Where does phagocytosis of old, fragile red blood cells occur? 2. What do I mean...
1. Where does phagocytosis of old, fragile red blood cells occur? 2. What do I mean by “inappropriate clotting?” Is this a good thing or a bad thing? Why? Give and example of a condition caused by in appropriate clotting ans/ or embolus formation from the inappropriate clot. 3. Which chamber od the heart is thickest and why?
Exercise 5: Inappropriate Interview Questions Exercise: An interview question is not in itself illegal, but how...
Exercise 5: Inappropriate Interview Questions Exercise: An interview question is not in itself illegal, but how the interviewer uses the answer can be. The goal of an interview is typically to obtain important information about the candidate while reinforcing the organization's employer brand and maintaining a positive employer image. It can be helpful to practice recognizing inappropriate interview questions and identifying ways to more appropriately get the information that you are looking for from the candidate. Working with a group...
1. What are the three indicators you would use to measure the well-being of immigrant families...
1. What are the three indicators you would use to measure the well-being of immigrant families in your community? 2. How might individuals’ experiences of poverty be influenced by the ideology of our current provincial and federal governments? For the answer you may choose to draw on the Poor No More documentary as well as you course readings) 3. What are the three main approaches to social welfare in Canada? Describe them and how they differ. (Note that I am...
Under what conditions would you use the median rather than the mean as a measure of...
Under what conditions would you use the median rather than the mean as a measure of central tendency? Why? Provide an example of two situations in which the median might be more useful than the mean as a measure of central tendency.
During a 2-month trial period, an accounting firm institutes an exercise break for its employees to...
During a 2-month trial period, an accounting firm institutes an exercise break for its employees to see if this will improve their sense of well-being. A sample of 61 employees are randomly chosen from the list of all employees at the firm . Consider two possible study designs: Study Design 1 Selected workers are randomly assigned into two groups: one group is instructed to take exercise breaks during the work day; the other groups continues working without exercise breaks as...
Case#1: Develop a personal sense of time Keeping a time log One important way by which...
Case#1: Develop a personal sense of time Keeping a time log One important way by which you can develop a personal sense of time is to keep a time log, recording how your time is actually spent over a period of say, a week. The principle of a time log or audit is to divide each day for the next week or two into fteen minute intervals.At the end of each hour record how the previous hour was spent. Keeping...
Introduction: Give a brief overall description of PTSD. Describe any shared general symptoms associated with the...
Introduction: Give a brief overall description of PTSD. Describe any shared general symptoms associated with the disorders in this category? Find and share a media example (movie, TV, commercials, etc.) of one of the disorders in the category. Is the media portrayal accurate (or is it based on stereotypes)? For each specific disorder presented, provide the following information: Which model/theory best describes the underlying cause(s) of this disorder and why? (i.e. biological bases of behavior, diathesis-stress, psycho-analytic, etc.) What are...
Think of something that you might want to measure that is affected by random variation.  Identify what...
Think of something that you might want to measure that is affected by random variation.  Identify what you want to measure, then describe its (approximate) sample space. Give a rough description of the probabilities associated with those values (you can simply specify if they are all the same probability or if values in one range will be more likely than values in another range). What would you say to a person who says that he or she "knows" what the outcome...
Choose 2 of the following questions and give your answers: Based on the brief introduction, the...
Choose 2 of the following questions and give your answers: Based on the brief introduction, the example and explanation provided, the video clip, and your current knowledge of statistics, create a list of factors that you think might influence how a communicator, such as a newspaper reporter or television analyst, decides to present a set of statistics. Why are absolute numbers and percentages, when one is presented without the other, so often misleading? Compare the mean, mode, and median. When...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT