An outline is a way of formally arranging and developing your ideas. Though formal in form, there is a great amount of flexibility in how you might approach making an outline. It can be made either before youâve written a single word on the topic or after a draft or two.
Graph 6. When a market does not produce at its efficient point there is a deadweight loss to society. The yellow triangle represents the lost consumer surplus and the red triangle represents the lost producer surplus when the market operates at the monopolistic output instead of the competitive output.The lost consumer surplus plus the lost producer surplus is the total deadweight loss to society. Graph 7.roducer surplus is defined by the area above the supply curve, below the price, and left of the quantity sold. Graph 2. The yellow triangle in the above graph represents consumer surplus. Consumer surplus exists when the price paid by a consumer is less than what the consumer would be willing to purchase the good for.
Harberger's triangle, generally attributed to Arnold Harberger, refers to the deadweight loss (as measured on a supply and demand graph) associated with government intervention in a perfect market. This can happen through price floors, caps, taxes, tariffs, or quotas.n a perfectly competitive market, producers would have to charge a price of 10 cents and every customer whose marginal benefit exceeds 10 cents would have a nail. However, if there is one producer who has a monopoly on the product, then they will charge whatever price will yield the greatest profit.